Excela Health, Butler Health Boards Enter Into Definitive Agreement to Merge


 

 

Officials at Excela Health and Butler Health System announced that after a peri­od of due diligence the parties have entered into a definitive agreement to combine the two organizations into a new health sys­tem. Following a Letter of Intent that was announced in early June, the definitive agreement is the legally binding agreement that defines the details of the transaction. The organizations will now move forward with necessary state and federal regulatory approvals, which are anticipated to be com­plete by the end of the year.

The agreement includes Butler Memorial Hospital, Clarion Hospital, Frick Hospital, Latrobe Hospital and Westmoreland Hos­pital. “This is very important development for our respective organizations and the proposed new system. We are now one step closer in realizing a goal that will have a dramatic and positive impact on health­care for those we serve,” said John Sphon, Excela Health CEO.

“Today’s announcement represents a major step forward in the process to rede­fine locally-controlled, community-based care,” said Ken DeFurio, Butler Health Sys­tem

 

 

President and CEO. “Our commitment to our patients in providing high-quality, low-cost sophisticated care in our region will be the cornerstone of the new entity.”

When finalized, the new health system will employ approximately 7,300 people, and have more than 1,000 physicians and practitioners who serve a population of 750,000. A name for the newly created organization will be announced at a later date.

Paul Bacharach and Tim Morgus, the Board Chairs of Excela and Butler respec­tively, jointly expressed their organizations’ mutual enthusiasm regarding the creation of the joint health system. “Our Boards ap­proached the merger as an opportunity to affect real and meaningful change in the landscape of healthcare in western Penn­sylvania. We are most excited regarding the possibilities that are now before us.”

Excela Health, a 578-bed, tertiary-based health System in Westmoreland County, PA, includes three hospitals – Excela West­moreland Hospital, Excela Latrobe Hospi­tal and Excela Frick Hospital – and serves more than 23,000 inpatients, 700,000 out­patients and 100,000 emergency visits an­nually. With more than 700 physicians and allied health professionals and 4,300 em­ployees, Excela is a regional leader in clini­cal areas such as Cardiovascular Disease, Orthopedics and Emergency Medicine.

The System has received recognition by U.S. News & World Report in its list of top- ranked regional hospitals and achieved Magnet Recognition®, the highest honor for nursing professionalism and superior patient care given by the American Nurses Credentialing Center.

Located in the rolling hills of Western, PA, Butler Health System (BHS) consists of two hospitals, Butler Memorial Hospital (Butler, PA) and Clarion Hospital (Clarion, PA). It has remained an independent com­munity health system for over a century and continues to grow to meet the needs of the patients we serve. BHS employs 3,000 people and over 270 providers, making it the largest employer in Butler County and the largest healthcare employer in Clarion County.

BHS offers patient’s access to nationally recognized quality care in cardiology, pal­liative care, and maternity as well a broad range of surgical, medical, emergency, and psychiatric services. in addition to its pri­mary health services.

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