Trinity Mother Frances Combines with CHRISTUS Health
Trinity Mother Frances Hospitals and Clinics (“TMFHC”) is a Catholic, faith-based, not-for-profit integrated healthcare system based in Tyler, Texas, that has served the East Texas market for over 75 years. TMFHC staffs more than 460 beds, with an additional 125 beds through joint venture relationships, and includes three general acute care hospitals, a heart hospital, a long-term acute care hospital and a rehabilitation hospital. Trinity Clinic is a 501(a) not for profit medical group with more than 330 physicians and advance practice providers representing 36 specialties.
THFHC’s leadership sought opportunities to improve quality and access to care in East Texas while expanding the healing ministry of Jesus Christ. With the assistance of Huron Consulting Group’s strategy team, TMFHC leadership embarked on a strategic vision for East Texas, leading to a vigorous search for a partner which formally began in May 2015.
TMFHC retained Huron Transaction Advisory (“HTA”) as its exclusive financial advisor in February 2015. TMFHC’s governance structure required agreement from the system board, clinic board and the Sisters of the Holy Family of Nazareth (“SHFN”), TMFHC’s sponsoring congregation, in order to move forward with an affiliation. Thus, HTA designed a highly comprehensive affiliation process which promoted interaction from all decision-making parties. HTA began the process by establishing affiliation criteria which met the objectives of the various constituencies. Other key steps included identifying suitable partners, soliciting interest, providing regular updates and materials to leadership, managing the decision makers through the selection process, coordinating due diligence and assisting with negotiations. Studer Group, a division of Huron Consulting Group, also facilitated a cultural assessment to help determine TMFHC’s potential cultural fit with the finalists.
Results and Benefits
CHRISTUS was selected as TMFHC’s partner, given their collective vision for East Texas, natural geographic alignment, strong cultural fit and a shared mission of expanding the healing ministry of Jesus Christ. As part of the partnership consideration, CHRISTUS’ board now includes four TMFHC representatives, a representative from Trinity Clinic and a representative from the SHFN. The joining of these two health systems is expected to create a platform for significant growth opportunities and the ability to pursue new models of healthcare delivery that depend on a strong geographic presence.
Securities transactions provided by Huron Transaction Advisory LLC, member FINRA/SIPC.