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Steward Health Care, the private operator of hospitals that filed for bankruptcy in May, announced an agreement on Friday with Medical Properties Trust (NYSE:MPW), also known as MPT, to settle disputes over leasing claims.
According to the agreement, Medical Properties Trust (MPW), the biggest hospital landlord in the U.S., will take over Steward’s hospitals subject to its master lease and fund all related operational expenses.
Following the sale of these hospitals, the parties have agreed to make payments to lenders and creditors with proceeds from the transactions.
The agreement, subject to bankruptcy court approval, is expected to settle disputes between MPT and Steward over lease obligations.
With a possible hearing scheduled for Sep. 10, Steward, MPT’s biggest tenant, said it would seek bankruptcy court approval for the deal “as soon as possible.”
On Thursday, the company announced an agreement to sell six of its hospitals in Massachusetts.
