Spectrum acquiring southwest health system
Spectrum Health is acquiring a St. Joseph-based health system.
Lakeland Health, a three-hospital health system serving southwestern Michigan with more than 4,000 employees and 450 providers, will become a division of Spectrum Health, the boards announced today.
The organizations are pursuing a definitive agreement and due diligence over the next few months, expected to be finalized by Oct. 1.
Lakeland Health will retain oversight with a local board of directors, local capital investment considerations and local philanthropic efforts.
“The Lakeland Board has been deliberate about understanding where health care is going and what it takes to succeed. The positive impact of size and scale have been topics of conversation at the board level for some time,” said Dan Hopp, chairman of the board of directors of Lakeland Health.
“I have been impressed by the cultural fit Lakeland has with Spectrum Health — their commitment to innovation, employee relations and quality aligns well with ours. Spectrum Health offers capacity beyond our ability to develop locally. Being part of a larger system will truly benefit our community,” he said.
Richard Breon, Spectrum Health president and CEO, said, “Our board has spent the past year diligently focused on our growth and partnership strategy in the context of current and anticipated future trends in the industry, such as consumer-centric care and precision medicine. This integration brings benefits to both organizations in terms of improving affordability, quality and access.”
Lakeland Health is a member of Helen DeVos Children’s Hospital Partners in Children’s Health and also has partnered with Spectrum Health Medical Group for specialty services, including cardiovascular care.
Based in West Michigan, Spectrum Health is a nonprofit health system offering a full continuum of care through the Spectrum Health Hospital Group, which is comprised of 12 hospitals; 180 ambulatory and service sites; 3,600 physicians and advanced practice providers; and Priority Health, a health insurance plan that served 996,000 members in fiscal year 2017.
Spectrum Health is West Michigan’s largest employer, with 26,000 employees.
Lakeland Health, located in southwest Michigan, is a nonprofit, community-owned health system that includes three hospitals, an outpatient surgery center, a cancer center, rehabilitation centers, long-term care, hospice, home care services and physician practices.
Lakeland Health is Berrien County’s largest employer, with more than 4,000 employees.
Lakeland provides clinical and support services at 40 locations throughout southwest Michigan and partners with more than 450 affiliated physicians and other providers.