South Bend, Ind.-based Beacon Health will acquire Ascension Borgess in Southwest Michigan.
In a deal that ends speculation about the future of Borgess after Ascension divested other hospitals in the state, Beacon Health will acquire the 422-bed Ascension Borgess Hospital in Kalamazoo, Ascension Borgess Allegan Hospital, Ascension Borgess-Lee Hospital in Dowagiac, and Ascension Borgess-Pipp Hospital in Plainwell.
Beacon Hill also will acquire 35 outpatient centers and an ambulatory surgery center that Ascension owns and operates.
“Beacon Health System’s primary focus is to deliver outstanding care to our communities. Expanding our reach deeper into southwest Michigan broadens access to high-quality, affordable care for communities served by Ascension, extends our service area and provides growth opportunity to further strengthen the health system,” Beacon Health CEO Kreg Gruber said in a statement. “This acquisition will create a bright future for these communities by ensuring access to quality healthcare services for generations.”
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Beacon Health System owns Beacon Children’s Hospital in South Bend, Beacon Granger Hospital in Mishawaka, Community Hospital of Bremen, Elkhart General Hospital, the South Bend psychiatric hospital Memorial Epworth Center, Memorial Hospital of South Bend and Three Rivers Health in Michigan, plus a medical group.
The deal could close this summer pending regulatory approvals.
“As a regional provider, Beacon Health System is positioned to serve patients through an integrated care delivery system to ensure that southwest Michigan has access to sustainable, quality health care long into the future,” said Scott Cihak, chief operating officer at Ascension Michigan. “After an in-depth review, we found that our organizations are well-aligned culturally, which will streamline the integration process. Our communities are in good hands.”
The deal would complete Ascension’s divestiture in Michigan.
A year ago, the St. Louis-based health system said Midland-based MyMichigan Health would take over its three Northern hospitals. That deal came a few months after Ascension said that Detroit-based Henry Ford Health would assume ownership of its eight Southeast Michigan hospitals.
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