PHILADELPHIA (KYW Newsradio) — Wilmington-based ChristianaCare announced Thursday that it is backing out of a deal to purchase Delaware County hospital system Crozer Health.
ChristianaCare and Prospect Medical Holdings, Crozer’s parent company, say negotiations that started in February have ended without reaching a deal.
In an email obtained by KYW Newsradio, Crozer officials said, “the economic landscape has significantly changed, impacting the ability of the sale to move forward. Both organizations worked very hard to reach a final agreement and have significant respect for each other, and remain committed to caring for the health of those in Delaware County.”
Crozer said they will continue to engage in a strategic review to determine the best path to stabilize the health system, the first step of which will be converting to nonprofit status. They said they will also engage with health plan partners, community leaders and regulatory bodies to ensure Crozer Health’s sustainability well into the future.