From Illinois Business Journal news services
BELLEVILLE – With federal and state regulatory approvals secured, Memorial Group and BJC HealthCare announced today that the two systems have signed an agreement to proceed with a strategic affiliation announced in April.
The decision follows a due diligence process which confirmed that the opportunity would provide significant advantage to health care in the Metro East region, the hospital systems said in a joint statement.
“The affiliation will be a strong path forward for both systems, and most importantly, the communities we serve,” said Memorial Group CEO Mark Turner. “It will provide greater access to enhanced service lines and medical expertise, as well as an effective and progressive delivery care model.”
“We are drawing upon the strengths and value of two proven health care providers to create one integrated network,” said BJC President and CEO Steven Lipstein. “It’s a proactive step in an ever-changing health care landscape that will allow us to continue providing the highest quality care well into the future.”
Under the terms of the agreement, the affiliation will establish a new jointly owned parent organization, Memorial Regional Health Services, governed by both hospitals. Mark Turner will serve as the organization’s president. A board of directors appointed by both systems will oversee Memorial Hospital, Memorial Hospital East, Memorial Foundation and other holdings, which remain intact and community led.
“The structure preserves our community commitment and maintains our strong leadership teams,” said Turner. “All services will continue as normal, and patients will continue to receive quality care from the Memorial doctors and staff they know and depend on.”
To further enhance care, BJC has committed to capital investments in support of facilities, service line expansion and operational enhancements. Additional joint resources will go towards the organization’s population health and accountable care programs.
Closing is expected by early 2016.
About Memorial Group
Memorial Group is the parent organization of Memorial Hospital, Memorial Hospital East, Memorial Foundation, Memorial Medical Group and Southwest Illinois Health Ventures. Serving Belleville and the Metro East since 1958, Memorial is the area’s leading community health care provider. Memorial is a designated MAGNET facility and an accredited chest pain center. Its medical staff includes more than 350 members representing 42 specialties. The organization’s 2,300 employees have been honored with numerous quality care recognitions.
About BJC HealthCare
BJC HealthCare is one of the largest nonprofit health care organizations in the United States and is focused on delivering services to residents primarily in the greater St. Louis, southern Illinois and mid-Missouri regions. With 2014 net revenues of $4.1 billion, BJC serves the health care needs of urban, suburban and rural communities and includes 12 hospitals and multiple community health locations. Services include inpatient and outpatient care, primary care, community health and wellness, workplace health, home health, community mental health, rehabilitation, long-term care and hospice.