REGIONAL—Sanford Health and UnityPoint Health announced Friday, June 28, they have signed a letter of intent to explore joining their brands.
The decision follows considerable exploration between leadership teams from each organization, an announcement stated.
The two organizations “will build on their strengths in clinical care, research, innovation and education to deliver greater health outcomes and value in communities in the Midwest and around the world,” the announcement stated.
Sanford Health is headquartered in Sioux Falls, SD, and maintains locations for a variety of health-care services throughout N’West Iowa, including in Boyden, Hartley, Hospers, Inwood, Orange City, Rock Rapids, Sanborn and Sheldon.
UnityPoint Health is headquartered in Des Moines and operates a medical center in Sioux City along with others throughout Iowa, western Illinois and southern Wisconsin.
“Sanford and UnityPoint are two successful systems intent on controlling our own destiny,” said Kelby Krabbenhoft, president and CEO of Sanford Health. “We believe that in the very near future, fully integrated health systems will drive greater value through affordable options for high-quality health care to patients, governments and employers.”
He said combining Sanford and UnityPoint will help two organizations better meet this need, creating a new system positioned for continued growth across a broad geography.
“Our organizations share a deep commitment to exceptional patient care and a vision for transforming and sustaining health care in our communities,” said Kevin Vermeer, president and CEO of UnityPoint Health. “We are approaching our discussions very purposefully, with a clear and common vision for success. First and foremost, our focus is on people. Working together, we will find new ways to broaden access to care — beyond the traditional settings — and take greater responsibility for the health of the populations we serve.”
With more than $11 billion in operating revenue, the combined company would rank among the top 15 largest nonprofit health systems in the country.
The new organization would employ more than 83,000 staff and 2,600 physicians and carry out operations in 26 states and nine countries, including hospitals, clinics, health plans and networks, post-acute care, research, innovation and other lines of business.
The transaction is subject to various regulatory reviews.
Timelines are still fluid, but leaders intend for the transaction to be completed, pending regulatory reviews, by the end of 2019.