WESLACO – Universal Health Services Inc. announced today that it has entered into a definitive agreement to acquire certain assets of Knapp Medical Center (KMC) in Weslaco, including a 226-bed acute-care hospital, the Knapp Surgery Center, Mid Valley Physician Association (PHO), Knapp Medical Group, a physician group practice structured as 501-a, and various other real estate assets.
Universal, through its South Texas Health System, currently operates four acute care hospitals, one behavioral health hospital and an ambulatory center in the Upper Valley.
KMC is strategically located in the growing Mid-Valley region of South Texas with projected population growth of 9 percent over the next five years, Universal said in a statement.
Alan B. Miller, CEO and Chairman of the Board of Universal Health Services Inc. said, "We are thrilled to have been chosen to continue Knapp Medical Center's tradition of providing high quality healthcare in this very important market. Knapp Medical Center is an ideal strategic fit for UHS and I am proud to welcome them to the UHS family."
KMC currently generates annual revenue of approximately $140 million. This transaction, which is subject to normal regulatory approvals, is expected to be completed in the first quarter of 2012.
Universal Health Services is one of the nation's largest hospital companies, operating, through its subsidiaries, acute care hospitals, behavioral health facilities, and ambulatory centers throughout the United States, Puerto Rico and the U.S. Virgin Islands.