Fitzgibbon Hospital faces uncertainty after buyer backs out of deal
MARSHALL, Mo. (KMIZ)
The future of Fitzgibbon Hospital in Marshall is uncertain after a potential buyer backed out of a deal to purchase the hospital, according to federal bankruptcy court documents.
Fitzgibbon Hospital is suing Strawberry Fields and American Medical Administrators, seeking damages for costs, alleged harm and delays the hospital says resulted from the companies not following through with the agreement.
According to court documents, the hospital began receiving offers to purchase its assets in February.
On April 1, the hospital's board approved Strawberry Fields' $5.94 million offer to purchase The Living Center. The hospital said the deal would provide additional funding while it continued looking for a buyer for its acute care facility. On April 13, Strawberry Fields submitted an offer of $8 million to purchase the hospital's assets.
The hospital also received interest from another potential buyer. However, according to court documents, that party had not submitted a formal purchase agreement or demonstrated that it could complete the transaction within a feasible timeline.
Court documents filed Wednesday show the hospital was eventually sold for approximately $10.4 million.
The uncertainty has raised concerns among Marshall residents who rely on Fitzgibbon Hospital for nearby medical care. However, Fitzgibbon Hospital CEO Angy Littrell maintained the hospital would remain open in a statement sent to ABC 17 News on Friday. .
"Fitzgibbon Hospital remains open and continues to provide care to our patients and community. While the situation remains serious and continues to evolve, there is no established date for a hospital closure," the statement reads.
The closest alternative hospital is about 40 minutes away, while another option is approximately an hour away.
Jessica and Miguel Parada, who live in Marshall, told ABC 17 News they are concerned about what this could mean for residents.
"It's really sad, especially since a lot of residents here can't travel that far, and this is the closest hospital in the area," Jessica Parada said.
Miguel Parada said some residents may have difficulty traveling to another hospital, particularly people with disabilities or those who rely on family members for transportation.
"Some of them are disabled. Some of them can't drive there by themselves and need family members, and I just feel like it wouldn't be in the best interest of the people in Marshall," he said.
Jessica Parada also said she has family members who live and work at the living center and worries about the impact the hospital's situation could have on local jobs.
For now, the hospital remains open and continues to provide care to patients while the bankruptcy case and legal dispute move forward.
Check back for updates.
