With an auction of Forum Health's assets just a few weeks away, it appears the event will be more than a simple formality.
As first reported Tuesday, another potential suitor has emerged that could offer its own bid for Forum. Community Health Systems, based in Tennessee, has reportedly expressed interest.
This could provide competition for Ardent Health Services, which has already submitted a bid of nearly $70 million for the assets. At least one union leader with Forum believes the added interest has its advantages.
"It's a little bit more of a roller coaster ride, but we also think in the long run though, that these things are going to be better for us," said Tom Connelly, who leads AFSCME Local 2026. "I mean more options, more things to look at, more companies to go with, or whatever."
"Somebody may be better for the community, and for this institution, than just the one bidder," said Shari Williams, AFSCME Local 2026.
According to CHS's web site, it owns, operates or leases more than 120 acute care hospitals in 29 states. Ardent Health Services of Nashville signed a letter of intent more than a month ago to buy Forum's assets for $69.8 million.
A statement from Forum Health acknowledges the agreement with Ardent, but states, "There is an opportunity for other parties to make a higher bid for the assets of Forum Health. Accordingly, we are encouraging other parties to perform due diligence and to submit a competing bid."
Youngstown Mayor Jay Williams pointed out that Ardent also said it plans to operate all three systems within Forum Health.
"Which was important to health care access in the city of Youngstown. It's important to job opportunities, employment opportunities in the city of Youngstown, and not just Youngstown but the entire Mahoning Valley," Williams said.
Williams said he hopes the bankruptcy judge will take any bid's amount, and potential impact on the community, into account before selling Forum's assets.
Connelly said he has not yet been invited to meet with officials of Community Health, but thinks that could still happen sometime next week. At this point, the company has not made a formal bid for Forum's assets.
An auction with all qualified bidders is scheduled for Aug. 5.
