Centurion Foundation, a charitable 501(c)(3) organization that partners with healthcare, educational and government institutions, has helped return two at-risk Rhode Island hospitals to local nonprofit management. The organization announced that Roger Williams Memorial Center in Providence, Rhode Island, and Our Lady of Fatima Hospital in North Providence, Rhode Island, have been financially stabilized and are no longer facing imminent closure.
Both hospitals had been owned by Prospect Medical Holdings, a private equity-backed healthcare owner based in Los Angeles. Prospect Medical Holdings filed for Chapter 11 bankruptcy protection in 2025, a move that placed the future of the two Rhode Island facilities in doubt and raised the possibility that they could be shut down. In response, a recapitalization effort was assembled to keep the hospitals open and maintain local access to healthcare services.
According to Centurion Foundation, the recapitalization package for the hospitals included more than $100 million in privately financed bonds. The package was further supported by an $18 million reserve fund contributed by the State of Rhode Island. Together, these capital sources were used to stabilize the hospitals’ finances and enable their transition away from private equity ownership and back into the control of local nonprofit leadership.
Ben Mingle, CEO of Centurion Foundation, described the outcome as a success for nonprofit healthcare providers and the communities they serve. He characterized the process as a triumph by a nonprofit organization over a private equity owner, emphasizing that the resolution preserves jobs and ensures that critical healthcare services remain available to patients and the surrounding communities.
The hospitals will now be overseen by a newly organized nonprofit entity known as CharterCARE Health of Rhode Island. This entity is structured to operate under local governance and management, with responsibility for the governance and management of both Roger Williams Memorial Center and Our Lady of Fatima Hospital. The shift to CharterCARE Health of Rhode Island marks a transition from ownership by a private equity-backed operator in bankruptcy to a locally guided nonprofit model.
The recapitalization and governance changes conclude a period of heightened uncertainty for the two facilities following Prospect Medical Holdings’ Chapter 11 filing. With the new capital structure and nonprofit oversight in place, the hospitals are positioned to continue delivering healthcare services to residents of Providence, North Providence and the broader Rhode Island community, supported by a combination of private bond financing and state-backed reserves.
