Another $75 million distributed from New Hanover County hospital sale
NEW HANOVER COUNTY, N.C. (WECT) - New Hanover County has announced that another $75 million has been distributed from the sale of New Hanover Regional Medical Center to Novant Health.
In line with the asset purchase agreement, the funds have been split equally between the New Hanover Community Endowment and the NHRMC Foundation.
“As part of the agreement, $100 million was set aside in an escrow account to address any trailing liabilities associated with closing operations of NHRMC. The agreement outlined that on the second anniversary of the transaction closing, $75 million of the escrow should be released minus any liabilities that had been paid from the escrow,” states an announcement from the county.
At this point, $75 million has been distributed after two years.
“The remaining funds in the escrow will be distributed equally to these same two entities on the fourth anniversary of the transaction’s closing, per the agreement,” the announcement continues.
The New Hanover Community Endowment was created by the county to use funding from the hospital sale, awarding grants to groups in the community and aiming to improve education, equity, public safety and community development in the area.
The NHRMC Foundation supports patients and team members at the hospital and other Novant Health facilities in the region. According to its website, the top priority fundraising initiative is currently supporting oncology patients at Novant Health Zimmer Cancer Institute.
“We are so grateful for this major infusion of funding that will positively impact our community for years to come. We will be utilizing the funds to advance our mission by enhancing programs and services that support patients and improve the health of the communities we serve. Funding decisions are made with input from our local foundation board,” said Ann Caulkins, senior vice president at Novant Health and president of the Novant Health Foundations, in a statement.
Copyright 2023 WECT. All rights reserved.