Catholic Health East is a Newtown Square-based national multi-institution Catholic health system that owns and operates facilities co-sponsored by religious congregations, and Sisters of Charity of Seton Hill is this facility's sponsor. The 148-bed hospital faces a projected $6.5-million loss from operations this year, and both organizations had agreed on the need for a new strategic partner and direction.

An Excela spokeswoman tells GlobeSt.com the acquisition cost is approximately $16 million. "Other options were explored," she says before Excela became "the invited buyer to the table." Excela plans to invest $10 million in upgrades to the facility over the next five years.

As a part of the agreement, Mercy Jeannette will become a campus of Excela's nearby Westmoreland Hospital and be renamed Excela Health Westmoreland Hospital at Jeannette. Since its inception in 2004, Excela has acquired and brought financial stability to LaTrobe Hospital in LaTrobe and Frick Hospital in Mount Pleasant, as well as to Westmoreland, which is located in Greensburg.