Iowa City, IA- The Iowa Board of Regents will meet Tuesday to vote on allowing the University of Iowa to purchase Mercy Hospital in Iowa City.
Radio Iowa reports that the proposal calls for the U-I to pay 20 million dollars for the assets of Mercy Iowa City. The UI sent a letter to its employees saying the plan includes Mercy entering Chapter 11 bankruptcy, and once that process is completed they would join the U-I Healthcare system.
The move comes after Mercy’s financial investor, Preston Hollow Community Capital, requested the hospital be placed in a court-appointed receivership to keep it from unsustainable financial losses. The UI says Mercy Iowa City will continue seeing patients throughout the process.
