Adventist Health agrees to acquire California Central Coast hospitals

Adventist Health has signed definitive agreements to purchase from Tenet Healthcare, Sierra Vista Regional Medical Center and Twin Cities Community Hospital located on the Central California Coast. This includes the related physician practices and imaging centers.

As part of the transaction, Adventist Health will also enter into an agreement with Conifer Health Solutions, which provides best-in-class, comprehensive revenue cycle services. For over three decades, Conifer Health has supported health systems in delivering revenue cycle innovation, optimizing financial performance, and enhancing patient engagement.

The acquisition will enable Adventist Health to expand its mission of providing access to high-quality care on the central coast and to broaden Adventist Health’s geographic diversification. Top employers in the area include California Polytechnic State University, San Luis Obispo; San Luis Obispo County, and the Atascadero State Hospital.

“We are excited to increase our footprint to the beautiful Central Coast of California,” says Kerry L. Heinrich, President and CEO, Adventist Health. “We are committed to partnering with Sierra Vista Regional Medical Center and Twin Cities Community Hospital to expand services, and we will work together to serve our mission of increasing the availability of care for communities in this region.”

"Sierra Vista Regional Medical Center and Twin Cities Community Hospital have enhanced access to high-quality healthcare services for the greater San Luis Obispo community for over 60 years,” said Saum Sutaria, M.D., Chairman and CEO, Tenet Healthcare. “Adventist Health’s innovative, patient- centered approach will enable these hospitals to be at the forefront of advancing compassionate, community-based medicine.”

The transaction is expected to be completed in the spring of 2024, subject to customary regulatory approvals, clearances, and closing conditions.

RBC Capital Markets served as the exclusive financial advisor to Adventist Health.