Under a partnership with Tulane University, LCMC Health has agreed to purchase three hospitals from HCA Healthcare for $150 million, in today's bite-sized hospital and health industry news from Florida, Louisiana, and Rhode Island.

• Florida: American Oncology Network (AON) last week announced plans to go public through Digital Transformation Opportunities Corp. (DTOC), which was formed by co-founder and former co-CEO of insurer Oscar Health Kevin Nazemi. Once the deal closes, AON will become the second oncology provider to be publicly traded after combining with a special purpose acquisition company. In November 2021, the Oncology Institute became the first oncology provider to be publicly traded following a merger with DFP Healthcare Acquisitions Corp. The AON deal, which is expected to close during the first half of 2023, places the combined company's value at $500 million. After the transaction is completed, AON's senior leadership team will continue leading the company. "We are excited to use the growth capital and partnership with the DTOC team to continue investing in technology and services that will support our physician partners and enhance the value proposition of AON," said AON CEO Todd Schonherz. (Bannow, STAT, 10/10; Berryman, Modern Healthcare, 10/10)

• Louisiana: Under a partnership with Tulane University, LCMC Health has agreed to purchase three hospitals from HCA Healthcare for $150 million. If the deal closes, Tulane Medical Center, Tulane Lakeside Hospital, and Lakeview Regional Medical Center will become part of LCMC. According to LCMC, the roughly 1,900 employees at those facilities will continue to have jobs and access to "expanded opportunities for growth and advancement." The deal, which is expected to close in late 2022 or early 2023, will foster academic collaboration with Tulane and Louisiana State University. It will also expand the area's access to specialty care, according to LCMC CEO Greg Feirn. The three hospitals will also transition from for-profit ownership to not-for-profit. "It allows us to grow our relationship with Tulane and allows Tulane a larger clinical portfolio from which to train its students and residents," Feirn said. "For something this transformative for a community and the state, it's the right time." (Hudson, Modern Healthcare, 10/10)

• Rhode Island: CVS Health appointed former Optum* executive Amar Desai as president of its new health care delivery organization. The newly formed health care delivery organization was created to utilize the CVS Health portfolio in the development of payer-agnostic products and services. In his new role, Desai will lead the deployment of key areas of health services and care delivery strategy to support retail health, chronic disease management, and behavioral health. Previously, Desai served as president and CEO of Optum Pacific West, where he was tasked with overseeing an integrated delivery network with over 20,000 physicians and 2.5 million patients. According to CVS Health President and CEO Karen Lynch, Desai's background in clinical delivery and value-based care "will be an asset as we continue to deliver high quality health and wellness care to our members and consumers." (Lagasse, Healthcare Finance, 10/10)

*Advisory Board is a subsidiary of Optum. All Advisory Board research, expert perspectives, and recommendations remain independent.