HMA closes on $525M purchase

NAPLES -- Health Management Associates Inc. (symbol: HMA) completed its acquisition of the assets of Mercy Health Partners, a Knoxville, Tenn.-based firm with seven hospitals. HMA now operates 66 hospitals, with 10,400 licensed patient beds, through its various subsidiaries.

As part of the transaction's closing, the Mercy system has been re-named Tennova Healthcare, a release explains.

HMA earned $150 million in profits on $5.1 billion in revenues in 2010. Gary Newsome is the company's president and CEO. The company's current stock price of roughly $6.75 per share is down more than 40% from its 52-week high of $11.74.

In August, the company's stock price fell roughly 8% after officials disclosed that the company received two federal subpoenas requesting information on its hospital operations.