During a hearing Monday, the sale of Fairmont General Hospital was approved by the U.S. Bankruptcy Court in Wheeling. The court approved Alecto Health Care Services LLC to purchase Fairmont General Hospital for $15.3 million.
FAIRMONT, W.Va. — Fairmont General Hospital (FGH) will be sold to Alecto Health Services Fairmont LLC.
During a sale hearing in Wheeling on Monday, the sale of FGH was approved by the U.S. Bankruptcy Court for $15.3 million to Alecto. After FGH filed for Chapter 11 bankruptcy in September 2013, the hospital explored other partnership and restructuring strategies, and identified Alecto as a potential strategic partner.
Michael Garrison of Spilman Thomas & Battle PPLLC in Morgantown, general counsel to FGH, said Monday on behalf of the FGH board that they were “very pleased” with the sale of the hospital.
“(U.S. Bankruptcy Judge Patrick Flatley) specifically noted that this sale was market-tested and the board exercised sound business judgment in entering into this transaction,” Garrison said. “The board is to be commended for all its hard work and perseverance on this issue.”
Garrison said he has worked with Alecto before and he believes they will do “excellent work” with FGH. The hospital has operated as an independent, nonprofit hospital since 1985 and this sale would make FGH a for-profit operation.
“It’s a good and exciting outcome,” Garrison said.
As for the future of FGH, Garrison said that the goal is to keep the hospital in the Marion County community. He said Alecto is very focused on community-based hospitals.
“It’s always been an intent of the board and Alecto has agreed to that,” he said…