Prospect Medical Gains Approval of $13 Million Hospital Sale

Bankrupt private hospital owner Prospect Medical Holdings Inc. received court approval to sell a Connecticut hospital for $13 million in cash to a UConn Health unit.

UCHCFC Waterbury Health Corp., the UConn Health unit, will assume $35 million in liabilities through the purchase of Waterbury Hospital, Prospect attorney Anne Wallice of Sidley Austin LLP said during a Tuesday status conference in the US Bankruptcy Court for the Northern District of Texas.

Waterbury Hospital, owned by Medical Properties Trust Inc. and leased to Prospect, will first be transferred through a special purpose vehicle to a Prospect subsidiary in order to preserve ...