The transaction between Daughters of Charity Health System and BlueMountain Capital Management LLC has finally completed, turning over Seton Coastside Medical Center control to the New York-based hedge fund.

The announcement made on Monday has come nearly a couple of years after Daughters of Charity gave an indication that it was planning to sell its six California hospitals, which raised concerns in patients, employees and Coastsiders regarding the Moss Beach facility’ fate.

The closing has indicated that BlueMountain is going to follow the mandates California Attorney General Kamala Harris has established, who gave conditional sanction to the agreement on December 3.

To do so, Harris needed BlueMountain to allow keeping Seton Coastside open as a skilled nursing facility with 24-hour emergency services for a period of at least 10 years. She established same type of conditions, mainly keeping present services at the 5 other Daughters of Charity facilities.

In a prepared statement, Daughters of Charity Health System President and CEO Robert Issai said, “We thank Attorney General Harris for approving the transaction,” “This large infusion of capital will provide a great jump-start on the many strategic, operational and capital initiatives desperately needed in our hospitals”.

Now, Daughters of Charity Health System is going to be known as Verity Health System, and will work as a non-religious not-for-profit governed by a fresh, independent board of directors. The hospital will be run by BlueMountain’s Integrity Healthcare. The Seton hospitals will keep their existing names.

BlueMountain has also promised to infuse the system with nearly $260 million in capital and maintaining virtually all 7,000 jobs distributed between the six facilities. It was one of the conditions put forward by the attorney general.