Trinity Health wraps up purchase of CommonSpirit Health's 50% stake in MercyOne Health System

Trinity Health has officially bought out CommonSpirit Health’s 50% stake of MercyOne Health System and now holds 100% ownership of the Iowa-based regional health system, Trinity announced Thursday.

The two Catholic health giants had announced the plans back in April, terms for which were not disclosed.

“Today’s closing further advances MercyOne’s vision to provide personalized and radically convenient care experience for Iowans and neighboring communities,” Bob Ritz, president and CEO at MercyOne, said in the announcement. “We are delighted to become a full member of the Trinity Health family which will further our goal to be a more strongly connected system of health services."

MercyOne has been jointly owned and operated by Trinity and CommonSpirit (then Catholic Health Initiatives) since its founding in 1998.

It comprises 16 medical centers, 27 affiliate organizations and more than 420 other care sites, all of which are included in the acquisition. The system sees 3.3 million patients per year and generates more than $3 billion in combined annual revenue.

MercyOne’s operations will be retaining their name and brand “while enhancing more integrated and unified care in the communities it serves,” Trinity said in the announcement. The organizations said MercyOne patients “can expect the same compassionate care from the caregivers they know and trust” throughout the integration.

Trinity and CommonSpirit previously said their decision came “after months of analysis and due diligence” that “determined a sole parent is the best path forward for MercyOne and the communities it serves.” They floated the transition of MercyOne’s systems onto Trinity’s electronic health record platform as an example of how patients will be able to more easily manage their care across the regional health system’s several services lines and locations.

“With MercyOne now fully part of Trinity Health, we are a stronger and more unified system that will strengthen MercyOne’s ability to serve our patients, colleagues and communities,” Mike Slubowski, president and CEO of Trinity Health. “Healthcare providers across the country continue to face unprecedented challenges brought on by the COVID-19, but together, we are stronger. With our shared history and Catholic mission, we look forward to continuing a legacy of high-quality care for generations to come.”

Prior to the acquisition, Livonia, Michigan-based Trinity comprised 88 hospitals and other care locations across 25 states. Its 115,000 employees and nearly 26,000 physicians and clinicians drive an annual operating revenue of $20.2 billion, with $1.2 billion in reported charity care and community benefit.