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Ardent Health files memos with court
By WILLIAM K. ALCORN
YOUNGSTOWN
Ardent Health Services, the firm that wants to buy bankrupt Forum Health for $69.8 million, has filed memorandums of understanding it negotiated with Forum unions with the U.S. Bankruptcy Court.
The memorandums have been a subject of contention for several weeks, as MBIA Insurance, representing Forum’s secured creditors, sought to learn the details of the agreements.
Forum Health filed for Chapter 11 under the U.S. Bankruptcy Code, in March 2009.
MBIA argued in court that it was necessary to examine the memorandums to determine if Ardent’s offer maximized Forum’s assets and were fair to any other bidders that might emerge.
Within the last two weeks, a second potential bidder has been identified as Community Health Systems, based in Tennessee as is Ardent.
Though CHS has not said it is a bidder, it has begun meeting with union leadership doing what is referred to as “due diligence” before deciding whether to submit a bid for Forum Health.
The major hospitals of Forum Health are Northside Medical Center in Youngstown, Trumbull Memorial Hospital in Warren and Hillside Rehabilitation Hospital in Howland.