Huntsville Hospital Health System reached a definitive agreement to acquire Crestwood Medical Center and its associated outpatient facilities in a massive move announced Tuesday afternoon.
Under the agreement, Huntsville Hospital Health System will acquire substantially all of Crestwood Medical Center’s assets from a subsidiary of Community Health Systems Inc.
The $450 million transaction is expected to close in the first quarter of 2026, subject to customary regulatory approvals and closing conditions.
“This acquisition continues our commitment to invest in the specific health care needs of our patients and community and in our employees,” said Jeff Samz, president and CEO of Huntsville Hospital Health System.
“We are committed to building on our more than 100-year legacy and continuing to invest in local access to high-quality, compassionate care.”
The announcement comes as Huntsville continues to experience rapid population growth.
Over the past five years, the city’s population has increased by nearly 16%. Health system leaders say the acquisition will serve to keep pace with that growth while preserving patient choice and strengthening coordination across facilities.
“As our community continues to grow, we listen carefully to patient experiences and expectations,” Samz said. “Our community wants and deserves options for more locally coordinated services and care. Acquiring Crestwood allows us to coordinate and align health care resources across the community.”
According to the news release issued jointly on Tuesday, Crestwood Medical Center will continue normal operations through the completion of the acquisition. Huntsville Hospital Health System said there will be no immediate changes to patient care, medical staff privileges, or services.
What the deal includes
The acquisition includes Crestwood Medical Center, its 180-bed acute care hospital, the Crestwood freestanding emergency department in Harvest, and other associated outpatient services, clinics, and certain ambulatory interests.
Crestwood Medical Center employs approximately 1,000 healthcare professionals and serves nearly 400,000 people across Huntsville, North Alabama, and surrounding communities.
The hospital provides a wide range of services, including emergency care, surgical services, women’s health, cardiovascular care, and intensive care.
Justin Serrano, CEO of Crestwood Medical Center, said the agreement will position the hospital to expand the benefits of locally-coordinated care.
“We are confident that Huntsville Hospital Health System will amplify the significant benefits that can be realized with locally coordinated care in Huntsville,” Serrano said. “This is a great opportunity for our patients and the community.”
Local choice, coordinated care
In remarks included as part of the announcement, Samz emphasized that the acquisition is intended to preserve choice for patients while strengthening the region’s healthcare network.
“People who have chosen Crestwood for years can continue to do so,” Samz said. “When anyone needs a higher level of care, we now have a coordinated network where we can seamlessly move people between facilities to help them get the right care, in the right place, at the right time.”
Samz described the transaction as a long-term investment in the region.
“There’s no question this is a large investment, but our community is worth it,” he said. “It’s a unique opportunity to bring together two strong institutions to increase access for our community and better coordinate care for decades to come.”
Courtesy of 256 Today.
