Ascension Health Alliance in St. Louis signed a Memorandum of Understanding (MOU) Wednesday with Marion Health System to acquire the system’s 36 affiliated hospitals in three regional divisions based out of Tulsa, Okla.
According to the press release, due diligence and the development of a definitive agreement will likely occur in the next few months. The deal between the two Catholic healthcare providers could be finalized by the end of the first quarter in 2013.
Marion Health System consists of three regional systems: Via Christi Health in Wichita, Kan., which is currently an Ascension Health affiliate; Ministry Health Care in Milwaukee; and St. John Health System in Tulsa, Okla. The system also has more than 150 clinics in Wisconsin, Minnesota, Oklahoma and Kansas.
“Ascension Health Alliance and the health systems of Marian Health share a common goal of serving all with special attention to those who are poor and vulnerable,” said Anthony R. Tersigni, president and CEO of Ascension Health Alliance, in a press release. “This step is part of an ongoing effort to strengthen Catholic healthcare in the U.S. The systems are all committed to serving the community and advocating for the common good.”
Last year, Ascension Health Alliance, through its subsidiary Ascension Health, provided more than $1.2 billion in care to patients living in poverty and community benefit programs. Its mission-focused health ministries employ more than 121,000 associates serving in more than 1,400 locations in 21 states and Washington, D.C.
“Together our organizations will further the mission of delivering spiritually centered, holistic care, which sustains and improves the health of individuals and our communities,” said Sister M. Therese Gottschalk, president and CEO of Marian Health System, in a written statement.
According to the press release, at this point, no assumptions should be made regarding changes to the existing credit structures of each of the three health systems of Marian Health System. Specific terms of the MOU and the agreement were not disclosed.