The deal comes less than a year after discussions began about purchasing the Decatur-based hospital system
Dallas-based Medical City Healthcare has again expanded in North Texas with the purchase of Wise Health System, bringing the health system giant to 19 in-patient hospitals.
Medical City, a division of HCA Healthcare in Nashville, announced the acquisition Friday, nearly a year after word surfaced of discussions with the Decatur, Texas-based hospital system. The Wise Health System board unanimously supported evaluating an affiliation with Medical City in January.
“Building on our legacy of compassionate care, joining Medical City Healthcare is a crucial, proactive measure to ensure our future,” said governing board Chairman Carey Williams. “As part of Medical City Healthcare, I am confident our hospitals will continue to provide outstanding care to our Wise County community and patients for years to come.”
Three hospitals will undergo rebranding as part of the acquisition: Medical City Decatur, formerly Wise Health East and West Campuses; Medical City Argyle, formerly Wise Health Surgical Hospital at Argyle; and Medical City Surgical Hospital Alliance, formerly Wise Health Surgical Hospital at Parkway.
Wise Health System, formerly known as the Decatur Community Hospital, is the largest employer in Wise County with more than 1,800 workers, according to the not-for-profit hospital system. It serves patients in five counties.
Medical City spokesperson Janet St. James said the health system is not releasing financial information on the deal at this time.
The acquisition marks yet another move in Texas for HCA, which operates around 50 care sites in the state. The company is also buying bankrupt Trinity Regional Hospital Sachse for $41 million, Bloomberg Law reported.
HCA bet big on the Lone Star State’s rapid growth in 2022, announcing the construction of five new hospitals in Texas’ largest regions, including Dallas-Fort Worth.
A combined total of 93 hospitals in Texas and Florida represent a majority of HCA’s admissions and revenue, according to the company’s latest financial filings. HCA reported a net income of $4.23 billion for the first nine months of 2023, up from $4.19 billion in the same period last year.
In addition to Medical City’s 19 in-patient hospitals, the system boasts nearly 60 urgent care facilities, 15 ambulatory surgery centers, 3,951 licensed beds and 18,500 employees.
HCA’s latest purchase aligns with the company’s tendency to pick markets with above-average population growth, lower unemployment levels and higher-than-average income growth, according to a Bloomberg Intelligence report.
Wise County’s population grew more than 9% in two years, climbing from 68,632 in 2020 to nearly 75,000 in 2022, according to U.S. Census Bureau data. Median household income from 2017 to 2021 was $75,482, compared with the state’s median household income of $67,321 in the same period.