Nu-Med Unit Agrees to Sell 3 Hospitals

Nu-Med Inc. in Encino said its PsychGroup Inc. unit agreed to sell three psychiatric hospitals to a unit of The Cooper Cos. In exchange, Cooper will effectively retire $21.7 million of Nu-Med debt it holds and receive an undisclosed amount of cash.

The facilities are Hampton Hospital in Westhampton Township, N.J., Hartgrove Hospital in Chicago, and Meadow Wood Center in New Castle, Del. They are being sold to PSG Acquisition Inc., a subsidiary of Cooper, which is a New York-based health-care concern.

Nu-Med, a hospital operator that’s been in serious financial trouble, said the proposed transaction calls for the debt securities held by Cooper to be returned to Nu-Med and then retired. Nu-Med said it expects the transaction to be completed by May 29.