The Chicago-based Loyola University Health System will be consolidated into Michigan-based Trinity Health, reports Healthcare Finance News.
"After a number of conversations with both local and national Catholic healthcare systems, LUC determined a partnership with Trinity Health provides the greatest opportunity to invest in and grow the Loyola University Health System while securing the future of the University's Stritch School of Medicine and Marcella Niehoff School of Nursing," said Michael J. Garanzini, SJ, president of Loyola University Chicago.
The deal, announced earlier this week, would create a combined system with annual revenue of more than $8 billion with more than 54,000 employees in nine states.
Although Loyola University Health posted a very modest surplus in 2010, it lost $75 million in 2008 and 2009 combined, and had been seeking a partner for some time. The merger ensures that it retains its affiliation as a Roman Catholic healthcare provider.
Terms of the deal were not disclosed. It requires approval by the boards of both organizations, along with the approval of several regulators. Loyola University officials said it would establish a new research center with the money it nets from the transaction.
For more information:
- read the Healthcare Finance News article
- read the Chicago Tribune article