City of Hope acquires Cancer Treatment Centers of America

The $390 million deal is expected to close in early 2022. Cancer Treatment Centers will be converted to a non-profit organization.

The City of Hope cancer treatment organization has announced a deal to acquire the Cancer Treatment Centers of America.

City of Hope announced the $390 million deal Wednesday. Cancer Treatment Centers operates oncology hospitals in Atlanta, Chicago and Phoenix and five outpatient treatment facilities.

If regulators give their approval, the deal is expected to close in early 2022. As part of the transaction, City of Hope said it intends to shift the Cancer Treatment Centers of America to a non-profit organization.

Robert Stone, president and CEO of City of Hope, touted the deal as a step to transforming cancer care.

“This is a defining moment in the fight against cancer and a powerful opportunity to reach more cancer patients with the leading treatments, care and advanced research they critically need,” Stone said in a statement.

“CTCA has a strong commitment to patient-centric cancer care, and combining its network and services with City of Hope’s scientific expertise, clinical trials and patient care strengths will significantly increase the number of people who can access the latest lifesaving treatments,” Stone said.

When the deal is complete, the combined organization will include 11,000 employees and 575 doctors.

City of Hope’s network stretches across California, including a new hospital opening in Irvine in 2022, Arizona, Illinois and Georgia. City of Hope touts its accomplishments in cancer research, including 450 patents and nearly 1,000 clinical trials annually. The organization also points to its extensive experience in bone marrow and stem cell transplants.

Pat Basu, president and CEO of CTCA, said the merger of the two organizations is a promising development for patients.

“Building on more than three decades of unparalleled patient experience and quality care, we’re excited to become a part of City of Hope, and to take a step closer to reaching so many more cancer patients with our unique, patient-centered model,” Basu said in a statement.

“Through the shared, patient-centric values of both organizations and expanded access as a result of the collaboration, cancer patients across the nation will be the ultimate beneficiaries of this relationship,” Basu said.

Under the deal, Basu will remain CEO of the Cancer Treatment Centers and report to Stone.

As cancer treatment evolves, Stone said it’s important treatment more accessible.

“A critical part of cancer care is closing the gap to access that exists for too many patients, particularly in underserved communities,” Stone said in the news release. “By joining forces with CTCA, we’re taking a major step forward in our mission to democratize cancer care and bring today’s treatments and tomorrow’s discoveries to even more people who need them now.”