Methodist to Break Ground on Olive Branch Hospital; International Paper to Buy Rival in $4.3B Deal

By Amalia Otet, Associate Editor With seven hospitals, several home health agencies and outpatient clinics to serve the Mid-South, Methodist Le Bonheur Healthcare is set on further expansion. Its latest plans include the opening of a new hospital in Olive Branch [...]

With seven hospitals, several home health agencies and outpatient clinics to serve the Mid-South, Methodist Le Bonheur Healthcare is set on further expansion. Its latest plans include the opening of a new hospital in Olive Branch to better serve the community in terms of accessibility and services.

Groundbreaking for the $137 million, 100-bed healthcare facility is scheduled for Oct. 19. The 276,000-square-foot medical outfit will sit on 40 acres at the southeast corner of U.S Highway 78 and Bethel Road and will seek LEED certification. Architecture firm Gresham Smith and Partners, Nashville-based Smith Seckman and Reid Inc., and New York-based Turner Construction Co. have been selected to form the design and construction team that’s going to ensure the success of this bold venture, according to the Memphis Business Journal.

In other business news, International Paper Co. appears to have finally reached a merger agreement with Austin, Texas-based Temple-Inland, in a $4.3 billion deal, after months of hostile negotiation, resulting in the former’s dominance of the corrugated-packaging market. The Commercial Appeal reports that under the current terms Memphis-based IP would buy all of Temple-Inland’s outstanding shares for $32 per share in cash and take up $600 million of Temple-Inland’s year-end debt.

Electrolux, the Swedish manufacturer of home and professional appliances, had announced earlier this year its plans to build a 700,000-square-foot production facility in Frank C. Pidgeon Industrial Park that would entail the creation of about 1,240 jobs at the new plant. An additional 2,250 jobs would be created by suppliers as an indirect result of the project. Total investments were expected to climb to $190 million, with $137 million coming from local governments through grants and incentives. The company recently reaffirmed their commitment to the endeavor, although construction costs appear to exceed the initially estimated amount by $30 million. According to the Commercial Appeal, groundbreaking is set for October, though full production kickoff is not slated until 2014.