Sanford Health and Minneapolis-based Fairview Health intend to merge
SIOUX FALLS, S.D. and MINNEAPOLIS (Dakota News Now) - Sanford Health and Minnesota-based Fairview Health have signed a non-binding letter of intent to combine and create a stronger new health system, according to a press release.
Authorities say the merge will allow for better health care service, given Sanford Health’s experience serving rural populations with Fairview Health Services’ experience in serving urban populations. The combined system will provide more people access to high-quality health care, accelerate population health, and drive clinical innovation to benefit rural, urban, and indigenous communities across the Midwest.
“Our organizations are united by a shared commitment to advance the health and well-being of our communities,” said Sanford Health President and CEO Bill Gassen. “As a combined system, we can do more to expand access to complex and highly specialized care, utilize innovative technology and provide a broader range of virtual services, unlock greater research capabilities and transform the care delivery experience to ensure every patient receives the best care no matter where they live.”
“With Sanford Health, Fairview Health Services has found a partner that shares our midwestern values and our commitment to affordable, accessible, and equitable care delivery,” said Fairview Health Services President and CEO James Hereford. “Our complementary capabilities mean that together, we are uniquely positioned to improve clinical outcomes, develop new care delivery models, expand opportunities for employees and clinicians across our broader operational footprint, and apply our combined resources to positively impact the well-being of our patients and communities today and for decades to come.”
According to the press release, the combined system will:
- Drive value through quality care and improved outcomes;
- Support health equity;
- Improve the patient experience;
- Help support more affordable care in the communities we serve;
- Provide opportunities for continued employee growth and clinical advancement, and
- Foster a culture of innovation that enables us to recruit and retain the best and brightest across our operational footprint.
Sanford Health and Fairview Health Services will remain nonprofit entities, each with its own regional presence, leadership, and regional boards in the markets they serve. Upon the close of the transaction, the name of the parent company will be Sanford Health. Sanford Health CEO Bill Gassen will serve as President and CEO of the combined system, and Fairview Health Services CEO James Hereford will serve as Co-CEO for one year post-closing.
The governing boards of both health systems have approved proceeding with necessary steps, such as due diligence and review processes, intending to organize Fairview Health Services and Sanford Health under a single integrated health system. The goal is for a definitive agreement to be signed, and the closing of the transaction is anticipated in 2023, pending antitrust and other necessary reviews and closing conditions.
Sanford Health, Fairview Health Services, and their partners are committed to ensuring the patients, residents, and communities they serve, continue to have access to exceptional care from their clinicians during the completion of this process.
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