Published on Wednesday, 30 November -0001 00:00
The Paynesville Area Health Care System's CEO, Bobbe Teigen, was notified that the Purchase Agreement of Hilltop Care Center to ElderCare of Minnesota, Inc. will not be proceeding because of financing limitations.
Hilltop Care Center, a senior care facility owned and operated by Paynesville Area Health Care System (PAHCS), had reached an agreement with owners of ElderCare of Minnesota, Inc., in August of 2011. The due diligence process and transition of ownership were scheduled to be completed by February, 2012. However, the necessary financial obligations by ElderCare of Minnesota to purchase Hilltop Care Center could not be met.
"We understand the hardships today's economic factors place on a prospective buyer," stated CEO, Bobbe Teigen. "ElderCare of Minnesota holds an excellent reputation in Minnesota in caring for seniors and we were pleased to have them in consideration for continuing quality care for seniors in Watkins. The tough reality of lower medical reimbursements on both a state and federal level make any type of sale process quite demanding."
The PAHCS Board of Directors will consider their next course of action and what is in the best interest for the future of Hilltop Care Center, its residents, its employees and for the Paynesville Area Health Care System. Hilltop Care Center is still under the ownership of Paynesville Area Health Care System, which is committed to continuing quality care to all residents and patients.