Former Triad execs launch new company

Executives who led spin-out from HCA in the late '90s find new life after Community Health sale

Email | Print By Walker Duncan

A group of former Triad execs with Nashville ties has started up a new hospital company and is on the prowl for acquisitions.

Privately held Legacy Hospital Partners is based in Triad’s old hometown of Plano and, like many out-of-state hospital companies, has strong ties to Nashville. Not surprisingly, two of the company’s top men have HCA in their pedigree.

Chairman James Shelton was an executive with Columbia/HCA in the '90s before taking the helm at Triad Hospitals when that company was spun out of HCA. He remained as CEO of Triad until that company was bought by Community Health Systems last year.

Likewise, Legacy CEO Daniel Moen spent the majority of the '90s as president of various divisions within Columbia/HCA. He is the former executive vice president for development with Triad.

Legacy is owned in part by CCMP Capital Advisors, a private equity group whose investment is being led by Managing Director Nancy Ann DeParle, who herself has strong ties to Tennessee. She was the Tennessee Commissioner of Human Services under then-Gov. Ned McWherter. Additionally, she was an administrator with the Health Care Financing Administration, the predecessor of the Centers for Medicare and Medicaid Services, under Bill Clinton.

She will sit on the company’s board with, among others, well-known health care expert Uwe Reinhardt, James Madison professor of political economy at Princeton.

The management team, which plans to “own, operate and manage acute care hospitals in small cities and in select urban markets throughout the United States,” will probably be able to buy back some its Triad portfolio quite soon. Community Health is likely looking to offload another passel of hospitals to decrease leverage on its balance sheet.