By Micah Maidenberg

 

HCA Healthcare Inc. said it would invest in a new venture to manufacture personal-protective equipment after its spending on such materials jumped last year.

The Nashville-based operator of hospitals, physician clinics and other health-care providers said Thursday it would work with a business called A Plus International Inc. to make surgical and procedure masks from a factory in Asheville, N.C.

Some healthcare providers and other companies struggled at times last year to ensure they had enough masks, gloves and other protective equipment on hand for workers as the coronavirus spread. Distributors like Fastenal Co. and W.W. Grainger Inc. saw jumps in demand for such items.

"The recent surge in demand for PPE due to the pandemic has underscored how dependent we have been on supplies from overseas and the importance of working to diversify our supply chain," said Dr. Jonathan Perlin, HCA's chief medical officer.

Last year, the company's spending on such equipment rose by more than $196 million compared with 2019.

HCA didn't say in a statement how much it would invest in the venture but said its funding comes through an entity designed to support healthcare-related businesses in the western part of North Carolina.

Production is expected to begin in the early part of this year. HealthTrust, which works on purchasing for health companies, will co-manage the new joint venture and serve as the distribution arm for the business for organizations in the U.S.

A Plus International makes products like baby blankets, surgical towels, masks, beard protector and gowns, according to its website.

 

Write to Micah Maidenberg at micah.maidenberg@wsj.com

 

(END) Dow Jones Newswires

January 21, 2021 09:05 ET (14:05 GMT)

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