Genesis Announces Plans to Sell Long-term Care Businesses
Zanesville, OH – Paul Masterson, Genesis HealthCare System vice president, announced yesterday to employees of Genesis Extended Care & Rehab, Zanesville, and Genesis Health & Rehab-McConnelsville, that the organization is planning to sell the two long-term care businesses to a reputable buyer that will enable the continuation and growth of these services.
The decision is part of Genesis’ planned strategic growth initiatives and has been under evaluation for several months.
“We have a growth-oriented strategic plan with several major initiatives that can only be accomplished with continued, intense management oversight and major financial investments. We also have limited resources – management time and money – so part of our strategic plan is also to redefine our scope and core business so we can focus on those areas that are most critical to meeting our core mission, those that the community needs the most from us, and those that nobody else is offering.
“Our long-term care facilities need $8 million in renovations. If we make this investment, we will not have the resources to develop the services the community really needs from us and to invest in the initiatives that will grow and improve the organization – the money is simply not there to do both,” stated Masterson.
Funds generated from the sale of the long-term care businesses will be used for a number of growth initiatives, including facility upgrades, information technology enhancements and patient care equipment.
Genesis leadership recognizes that long-term care services are important for the community;however, they feel there are qualified providers who specialize in offering long-term care services that could deliver the services in a high-quality, compassionate manner for the community.
“We know there are high-quality providers with the resources and expertise needed to keep the facilities open and flourishing. Rather than hold on to the businesses when we are unable to make the necessary investments, it’s best for the community, the residents and the staff if we find a new owner that can make the businesses a priority, and make the investments necessary for them to continue to offer and grow their services,” added Masterson.
At this time, it is not known how long it will be before a buyer is found; however, it is anticipated a sale will be final by the end of the year. Genesis will continue to provide residents high quality, compassionate care while a new owner is being sought. Consideration will only be given to potential buyers who share Genesis’ values and commitment to excellence, will offer uninterrupted care through the change of ownership, and facilitate a smooth transition for residents and staff. The new owner must also agree to continue to offer services in the Zanesville and McConnelsville areas.
“A lot of great changes are taking place at Genesis as we re-create the organization to bea world-class health care system. This decision is a planned part of our transformation,” ended Masterson.