Catholic Health World
| December 1, 2010 |
Volume 26, Number 21 |
Catholic Health Initiatives in merger talks to expand reach in Kentucky
Catholic Health Initiatives of Englewood, Colo., and the system's two affiliates in Kentucky are in merger talks with an academic medical center, cancer center and university in Louisville, Ky. The organizations have signed a letter of intent to form a health care network with statewide reach. Their goal is to improve health care access.
The parties involved in the talks are
CHI
CHI's Saint Joseph Health System, which has eight Kentucky campuses
Jewish Hospital & St. Mary's HealthCare, a joint venture that CHI has with Jewish Hospital HealthCare Services — another organization involved in the talks
University of Louisville Hospital/James Graham Brown Cancer Center
University of Louisville, a research institution
The organizations, which have been exploring affiliation options for about eight months, plan to form a network governed by a community board of trustees. The Catholic organizations will retain their faith-based identities.
CHI plans to invest more than $300 million in the venture.
Leaders of the organizations involved said the new entity will aim to address the changes brought about by health care reform, respond to the needs of medically underserved communities, assist people with chronic disease, excel in the use of medical research and technology and train health care professionals. The agreement also will expand the academic institutions involved in the affiliation and extend their research and teaching programs, their leaders said.
Kevin Lofton, CHI president and chief executive, said the merger will allow the organizations to share resources and expertise in order to improve how they provide care to the people of Kentucky. An estimated 2 million people will have access to the network, through 90 different entry points around the state.
The affiliation could take about two years to complete.
Copyright © 2010 by the Catholic Health Association of the United States
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