The Detroit Medical Center extended by 10 days a letter of intent to sell its eight hospitals to a Tennessee-based for-profit health care company for $1.5 billion.
The two sides were set to agree on a deal by June 1. Last week officials pushed that date back to June 10. The DMC board of trustees said the legal teams needed the additional time. “Both parties consider this a routine but necessary extension to complete the extensive legal work required,” DMC said in a statement.
Michigan’s attorney general must still approve the deal. If approved, Vanguard Health Systems said it would spend $800 million to improve and upgrade DMC’s Detroit campus. VHS would also pay $417 million to retire its debt and fund $278 million in pension obligations.