South Carolina health systems move to get closer
MUSC Health is poised to gain majority ownership of Tidelands Health, and the deal is expected to close in the fall. Tidelands has been facing financial difficulties.
MUSC Health already owns a part of Tidelands Health, and now the academic health system is looking to acquire a larger stake.
Dr. Patrick J. Cawley, CEO of MUSC Health, left, and Bruce Bailey, CEO of Tidelands Health, express optimism about MUSC's plans to gain a majority stake in Tidelands.
The health care system of the Medical University of South Carolina, MUSC Health is moving to acquire majority ownership of Tidelands Health, a nonprofit system which operates four hospitals and more than 70 outpatient clinics.
The two organizations said this week that they have received approvals from state officials, and they are looking to close the transaction in the fall.
Officials with MUSC Health and Tidelands Health say the transaction will expand services for patients. MUSC holds a 30% stake in Tidelands now, and the two systems have collaborated to provide services for years.
Tidelands Health, which just celebrated its 75th anniversary, has endured some financial difficulties in recent years. Officials say the deal will allow Tidelands to remain a “community-led health system” and preserve jobs. They also said that Tidelands would continue to have local governance.
Dr. Patrick J. Cawley, CEO of MUSC Health, expressed optimism about taking a bigger ownership stake in Tidelands Health.
“MUSC Health is proud to continue advancing health care through meaningful partnerships,” Cawley said in a statement. “With state and board approvals now complete, we are focused on finalizing the agreement and preparing for a seamless transition that will benefit patients, providers and the local communities.”
Tidelands is facing a $50 million deficit, according to The State, a newspaper in Columbia, S.C. Cawley told The State, “We think that there are a variety of things we can do to help strengthen them financially, and then turn them around.”
In its 2024 annual report, Tidelands reported a $22 million loss in operating income.
Bruce Bailey, CEO of Tidelands Health, said he’s looking forward to being able to provide patients with more services.
“This marks a pivotal moment for our health system and the communities we serve,” Bailey said in a statement. “With board approvals secured, we are one step closer to realizing a transformative partnership that will expand access to care, enhance services and improve health outcomes across Georgetown and Horry counties.”
Tidelands Health operates Tidelands Georgetown Memorial Hospital; Tidelands Waccamaw Community Hospital; Tidelands Health Rehabilitation Hospital at Murrells Inlet, located inside Waccamaw Community Hospital; and Tidelands Health Rehabilitation Hospital at Little River. The system said it had more than 14,000 hospital admissions and more than 661,000 outpatient visits in 2024.
Tidelands Health is also building a 36-bed hospital in the Myrtle Beach areas. The new hospital is projected to open in 2028.
The Medical University of South Carolina’s board of trustees recently approved the construction of a new cancer hospital in Charleston. The construction of the cancer center is likely to take five years, officials said.
The health system is also building a new outpatient surgery center, along with space for clinics and medical offices. The university expects that the ambulatory surgery building will be open in 2028.
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