Jefferson Health and Einstein Healthcare Network have reached a definitive agreement to merge after previously announcing their intentions in March.
The deal brings together two Philadelphia-based academic medical centers and creates an 18-hospital system with nearly $6 billion in revenue. It also creates the largest clinical academic enterprise in Philadelphia, including merging MossRehab and Magee Rehabilitation, two top-ranked rehabilitation hospitals by U.S. News & World Report.
"This is a critical step forward for the students and patients of both institutions and equally as important for our community as a whole," Stephen K. Klasko, MD, MBA, president of Thomas Jefferson University and CEO of Jefferson Health, said in a statement. "Our joint planning in recent months has reinforced how much Jefferson and Einstein share the values dedicated to reimagining the future of health, education and discovery. As we move forward, we will be transparent and committed to the community in making this partnership work."
With the definitive agreement in place, the organizations will seek state and federal regulatory clearances.
Jefferson has been on an acquisition spree over the last several years, merging with or buying five hospitals or health systems since 2015. The definitive agreement extends the shared governance model established with previous integrations of healthcare organizations with Jefferson, according to a press release.
Barry Freedman, president and CEO of Einstein Healthcare Network, will remain in his role and also serve as executive vice president at Jefferson Health. Klasko will remain CEO of Jefferson Health, with Bruce Meyer, MD, MBA as president of the clinical enterprise.
"Today, the signing of the Definitive Agreement between Einstein and Jefferson brings us one step closer to merging into a single healthcare system," Freedman said in a statement on Sept. 14. "Both organizations have a long and storied history in this region and we are excited to bring together our shared vision for delivering high-quality, affordable healthcare and providing exceptional education and training to the physicians of tomorrow."
Einstein and Jefferson were previously one network before Einstein separated in 2008, according to The Philadelphia Tribune.
Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."