Tenet Healthcare To Sell 3 South Carolina Hospitals To Novant Health For $2.4 Bln

(RTTNews) - Tenet Healthcare Corp. (THC) Friday announced that it has entered into a definitive agreement with Novant Health to sell three of its hospitals and related operations for $2.4 billion in cash.

Under the terms of the agreement, Coastal Carolina Hospital in Jasper County, Hilton Head Hospital in Beaufort County, and East Cooper Medical Center in Charleston County, will be sold to Novant Health along with its affiliated physician practices and other related hospital operations.

Tenet's ambulatory facilities operated by United Surgical Partners International will continue to remain with the company.

For the last 12 months ending September 30, the three hospitals and related operations included in the sale generated revenues of around $552 million, pre-tax income of around $126 million, and Adjusted EBITDA of around $150 million as per Tenet.

The healthcare company is estimating a pre-tax book gain of around $1.6 billion as a result of this anticipated sale and will use the proceeds towards the retirement of debt.

In pre-market activity, Tenet shares are trading at $59.08, up 1.62% on the New York Stock Exchange.