Mandelbaum Barrett PC’s healthcare and bankruptcy teams successfully represent affiliates of Hudson Regional Hospital (“Hudson”) in the acquisition of CarePoint Health System hospitals and the creation of a new healthcare system pursuant to a confirmed Chapter 11 Reorganization Plan in the bankruptcy cases of CarePoint Health System and affiliated medical practices (“CarePoint”) in Delaware (Case No. 24-12534).
On behalf of Hudson, as the acquirer of and DIP lender to CarePoint, Mandelbaum drafted and negotiated several interrelated documents involving multiple parties to provide necessary working capital through debtor-in-possession financing and operational support, in order to enable CarePoint—a healthcare system that operates three safety net hospitals and affiliated medical practices serving a large underserved community- to stabilize its operations, preserve the goodwill of the hospitals and their affiliated practices and effectuate the post-bankruptcy objectives of its clients. As stated in CarePoint’s Chapter 11 plan of reorganization and related pleadings, the overall strategy is to create a new health care system in Hudson County, New Jersey, entitled “Hudson Health System,” composed of Hudson Regional Hospital, Hoboken University Medical Centers, Christ Hospital, Bayonne Medical Center and affiliated medical practices. In order to streamline the confirmation process, the Mandelbaum team and the Debtor promptly engaged in constructive negotiations with key stakeholders, such as the Official Committee of Unsecured Creditors, and with invaluable assistance from Chief Judge Michael Kaplan (Bankr. D.N.J.) as mediator crafted an efficient path towards plan confirmation. It also assisted its client in acquiring the debt of a key first lien secured creditor, to facilitate confirmation. Thereafter, Mandelbaum helped the plan proponents resolve objections one by one but the confirmation process was still hotly contested and spanned several weeks. On April 11, 2025, the Delaware Bankruptcy Court, after four days of testimony and numerous additional hearings, on the record confirmed the CarePoint seventh amended plan. Hudson’s involvement in the bankruptcy is instrumental towards resolving CarePoint’s level of unsustainable debt and the goal is to enable the new system to continue providing healthcare to the community.
Aside from its role as transaction/bankruptcy counsel to Hudson, the Mandelbaum healthcare team advised Hudson in connection with the regulatory approvals arising from the above transactions. Specifically, it shepherded Hudson through the certificate of need/licensure process, which culminated in the Department of Health’s issuance of a CN to Hudson, as well as in connection with the Community Health Care Assets Protection Act (“CHAPA”), in which Mandelbaum convinced the State AG that CHAPA did not apply to the transaction involving the Bayonne Medical Center.
Mohamed H. Nabulsi, partner and chair of Mandelbaum’s healthcare practice, leads the M&A and healthcare regulatory representation with the instrumental assistance of healthcare practice group member, Mason Allen.
Vincent J. Roldan, partner and member of Mandelbaum’s bankruptcy and banking practices, leads the bankruptcy and finance representation with the significant assistance from Jeffrey Rosenthal, Ava Goldberger and Ann Lee.
This representation demonstrates the breadth of Mandelbaum’s practice and ability to seamlessly service clients as a full-service law firm. Mandelbaum Barrett PC’s healthcare department represents healthcare clients, including medical and other practices, hospitals, ambulatory care facilities, pharmacies, laboratories and others healthcare entities, in a broad range of M&A transactions, including highly complex distressed M&A transactions in conjunction with its bankruptcy team. Mandelbaum’s bankruptcy team has decades of experience representing various constituents in Chapter 11 reorganizations around the country, in particular, senior secured lenders, debtor in possession lenders, distressed companies, and asset buyers.
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