Bankrupt Steward Healthcare’s network of 1,700 physicians in Ohio, Pennsylvania, and nine other states is being sold to a private investor group.

Rural Healthcare Group announced on Tuesday its intention to purchase Steward Medical Group and Steward Health Care Network.

Newly renamed “Stewardship,” the network is one of the largest primary care provider organizations in the country was sold for $245 million. The sale is subject to regulatory approval.

Steward Medical Group and Steward Healthcare Network is a physician-led multispecialty organization offering primary care and specialty services which includes Steward Emergency Physicians of Ohio, Inc., and Steward Emergency Physicians of Pennsylvania, Inc.

Rural Healthcare Group is owned by Kinderhook Industries, a private investment firm that invests in mid-sized healthcare businesses.

Kinderhook says its investments are focused on protecting access to high-quality healthcare in truly underserved communities.

Word of the sale comes two days after Steward filed a document in bankruptcy court indefinitely delaying Tuesday’s previously announced sale hearing for Steward’s three hospitals in the Valley, including Trumbull Regional Medical Center, Hillside Rehabilitation Hospital, and Sharon Regional Medical Center.

Optum Health was in talks to buy Steward's physician network earlier this year. However, the two sides could not come to terms.

"As part of the ongoing Chapter 11 proceedings, following a robust and active bidding process, Steward Health Care is pleased to have reached an agreement with Rural Healthcare Group," said Mark Rich, President of Steward Health Care."

Rich's statement continues as follows:

"Kinderhook has over 20 years of experience investing in mid-sized health care businesses that serve the nations' most vulnerable populations. Kinderhook's investments are focused on protecting access to high-quality healthcare in communities that are truly underserved."

"Rural Healthcare Group is a well-respected group of healthcare professionals that specifically focuses on underserved and underinsured areas. We are confident that Stewardship Health will continue its stellar treatment of the patient population as a result of this transaction."