For Purpose update

6 February 2026

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MEDIA RELEASE

Plan for Healthscope Hospitals

The Receivers of Healthscope McGrathNicol Restructuring are pleased to announce a comprehensive plan to secure the future for all Healthscope hospitals, providing clarity of direction and reassurance to Healthscope patients, employees and local communities around Australia. After careful assessment, the plan includes:

• The creation of a new not-for-profit organisation to operate 31 hospitals.
• The sale and transfer of operations of five hospitals to well established and respected hospital operators.
• The transfer of operations of Northern Beaches Hospital to the NSW Government.

The plan offers an opportunity for all hospitals to avoid closure, providing continuity of care and job certainty for over 18,000 hospital workers.

Not for Profit Portfolio

Healthscope’s lenders have rejected an offer for the Prince of Wales Private Hospital in favour of supporting a holistic solution to transition the operation of 31 Healthscope hospitals, including Prince of Wales, to a new, not-for-profit organisation. This organisation would be the largest not-for-profit private hospital operator in Australia, providing stability to Australia’s hospital system.

The transition of this significant portfolio of hospitals to a well-capitalised not-for-profit organisation, operating in accordance with its care-focused charitable purpose, would support the long-term sustainability of the private health sector in Australia, taking pressure off the public health system.

The non-denominational charitable structure will ensure surpluses are reinvested back into hospitals to support excellent patient care and choice, employee engagement and wellbeing, and the continued provision of market leading healthcare services.

The plan has broad support across the Healthscope workforce with the vast majority of employees already having voted to share salary packaging benefits in order to support the viability of the new organisation. All hospital employees transitioning to the new organisation will enjoy continuity of employment and full recognition of service and their existing terms and conditions.

The Australian Charities and Not-For-Profit Commission (ACNC) approved an application to register not-for-profit entities associated with the plan as charities in October 2025. Related regulatory applications to support the new organisation are well progressed, with relevant approvals already secured across most states.

The plan includes the appointment of well credentialed independent directors over the coming months to oversee the establishment of the new organisation and to provide ongoing clinical and purpose-focused governance.

Sale Portfolio
Agreements have also been reached for the sale and transfer of operations for the following five Healthscope hospitals to well established and respected hospital operators:

• Ramsay Health for National Capital Private Hospital in Canberra.
• Calvary Health for Hobart Private Hospital and Holmesglen Private Hospital in Melbourne.
• Mater Health for Gold Coast Private Hospital.
• Day Hospital Partners for Tweed Day Surgery (completed in October 2025).

As has already been announced, the Receivers have agreed arrangements with the NSW Government for the transition of the Northern Beaches Hospital in Sydney to public ownership.

Each agreement provides for the continuity of employment and service for employees at each hospital.

Next steps
The Receivers have written to key landlords to invite further discussions in good faith, where necessary, to reset existing arrangements to market. The Receivers are confident of securing the support of all key stakeholders, including landlords and private health insurers, as the best holistic solution for the industry, patient wellbeing and the best option for their respective organisations.

It is expected that the new not-for-profit organisation will be operational by mid 2026.
McGrathNicol Restructuring thanks all Healthscope staff and management for their ongoing commitment to providing outstanding health services and care to patients across Australia.

Comments attributable to Keith Crawford (on behalf of the Receivers & Managers)
“We are pleased we can now provide a clear direction to Healthscope patients, employees and communities about the future of their local hospitals.”

“This has been a complex process involving a large number of assets across multiple jurisdictions, and detailed negotiations with many stakeholders.”

“We believe the plan announced today for the Healthscope portfolio is in the best interests of all stakeholders, preventing hospital closures and protecting jobs.”

“We look forward to continuing to work with the Healthscope team and key stakeholders to ensure the successful implementation of the plan in the interests of patients, employees and the Australian community”.

Comments attributable to Tino La Spina (Healthscope CEO)
“This is a transformative day for our people, our doctors, our patients and the Australian healthcare sector. Our whole organisation has been galvanised by the idea of transforming Healthscope into Australia’s largest not-for-profit hospital operator, reinvesting surpluses back into our hospitals and people to continually improve patient care."

“I want to thank our teams and our doctors for their support through what has been a challenging period, and I look forward to the exciting journey we’ll take together. I also want to thank Healthscope’s lenders for backing the For Purpose plan.”

Media enquiries
Nick Owens
Sefiani Communications Group
T +61 421 977 062
E nowens@sefiani.com.au