Done Deal: Jefferson Health, Lehigh Valley Health Network Complete Merger

The resulting health system is one of the largest nonprofits in the country.

Jefferson Health and Lehigh Valley Health Network (LVHN) have completed their mega-merger to consolidate care in Pennsylvania in a major way.

After signing a non-binding letter of intent to combine in December and inking a definitive agreement to combine in May, the two sides have now closed the $14 billion transaction, creating a health system that is among the 15 biggest nonprofits in the U.S.

The organization features 32 hospitals and more than 700 sites of care to serve regions in eastern Pennsylvania and southern New Jersey.

Jefferson Health CEO Joseph Cacchione will remain at the helm of the combined system, while LVHN president and CEO Brian Nester will transition into an executive vice president/COO role, reporting to Cacchione.

“We are delighted to bring these two incredible organizations together as we look ahead at all the good we will do for the communities we’re privileged to serve,” Cacchione said in the news release. “This milestone is even more significant as Jefferson celebrates its bicentennial, marking our longstanding commitment to improving lives through education, health care and discovery.”

The merger also allows Jefferson Health to expand its health plans into Lehigh Valley area, allowing it to reach more patients and grow its insurance business.

For LHVN, it will adopt the Jefferson Health brand and be afforded greater reach as part of the partnership.

“As health care continues to rapidly evolve, two leading health care organizations are forging ahead to build a bright future for health care in our communities,” Nester said. “Our combination will enhance access and elevate service by bringing more specialists, locations, expertise, research and education to the patients and communities we serve.”