HCA Midwest sticks to five-year investment plan, spending $600M

Wed, 02 Apr 2008 07:59:57 -0400

Five years ago, HCA acquired the 12-hospital Health Midwest for $1.13 billion, renaming it HCA Midwest. As part of the buy, HCA execs promised to make some heavy capital investments in the chain's aging facilities, some of which had equipment so outdated that physicians avoided them. Today, five years after the deal--at the time the largest conversion of nonprofit assets to for-profit in U.S. history--HCA seems to have lived up to its promises.

Over the last five years, the chain has sunk a whopping $600 million into capital improvements, exceeding the $450 million it had originally budgeted. Not only has the chain brought in state-of-the-art imaging technology, such as a $2 million cardiac cath lab at Overland Park Regional, it's done extensive renovations, opened new outpatient surgery centers, improved cancer, cardiac and spine care and built new facilities. What's more, the chain expects to invest another $30 million within the next year or so.

To learn more about HCA Midwest's status:
- read this Kansas City Star piece

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