The boards of directors of Beth Israel Deaconess Medical Center and Lahey Health said Monday they've signed a letter of intent to merge into a combined system, anchored by two academic medical centers in eastern Massachusetts.
While there are still plenty of details to be ironed out, the combined system will adopt a shared governance model. Kevin Tabb, MD, the current CEO of BIDMC, will become CEO of the combined system, while Ann-Ellen Hornidge, JD, current chair of Lahey Health Board of Trustees, will chair the new system's board.
[Also: Upward trend in merger, acquisition activity continues]
Officials of the two systems have talked about a merger for years, but had never signed a letter of intent, citing leadership structure as one of the primary reasons. Howard Grant, Lahey's CEO, will step down once the deal is completed, pending regulatory approval.
Beth Israel Deaconess operates the large teaching hospital in Boston's Longwood Medical Area, as well as three community hospitals, while Lahey operates four hospitals, the most prominent being its medical center in Burlington.
Twitter: @JELagasse