Atrium Health plans to take
control of WakeMed in a deal that could bring at least $2 billion in new
investment to Wake County, documents filed with Wake County indicate. 

County commissioners are
expected to vote on a measure Monday that would help pave the way for the transaction.
Charlotte-based Atrium is one of the nation’s biggest nonprofit healthcare
companies. An official announcement is expected on Tuesday.  

“We are excited to announce
this transformational step forward for WakeMed, which supports our ability to
deliver on our mission and improve the health and well-being of our community –
and beyond – for generations to come,” WakeMed said in a statement. 

A spokesperson for Atrium
didn’t immediately respond to a request for comment. 

WakeMed’s board unanimously
approved the transaction this month, allowing WakeMed to become affiliated with
Advocate Health, a unit of Atrium, county records show. Under the agreement,
Atrium would take over governance of WakeMed, becoming the controlling interest
in the nonprofit that operates WakeMed. WakeMed would continue as the same
legal entity without dissolving or reincorporating, records show. Atrium, in
turn, has pledged to make a $2 billion capital commitment to further WakeMed’s
strategic initiatives.

The Wake County Board of
Commissioners plans to vote Monday to amend the articles of incorporation for
WakeMed — which is likely needed for a transaction with Atrium. State law
requires the county board, in conjunction with WakeMed’s board, to approve any
amendments to WakeMed articles of incorporation. The Wake County Board of
Commissioners has a role in the appointment of members to WakeMed’s board of
directors and an interest in some of the company’s real estate, according to
county documents. 

Any transaction would likely
require further regulatory review, State Treasurer Brad Briner indicated
Friday. He said in a statement that he expected the attorney general and the
Federal Trade Commission to examine what the proposal could mean for North Carolinians. 

“There is a simple business
principle that when suppliers consolidate and competition is reduced it is the
consumers who suffer,” Briner said in a statement. “This has been proven to be
true time and again in the health care landscape, where prices continue to rise
and patients are left with mounting medical debt.” 

Briner added: “If history is
any guide, this merger will not benefit the public.”

This is a developing story. Check back for details.