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Bellin Health, Gundersen Announce Prospective Merger Plans

Analysis  |  By Melanie Blackman  
   June 02, 2022

The health systems are currently "deep into discussions" and a final merger agreement is expected to be completed within the coming weeks.

Green Bay, Wisconsin-based Bellin Health and La Crosse, Wisconsin-based Gundersen Health System are in talks to combine the nonprofit health systems.

According to a press release, the health systems are currently "deep into discussions" and a final merger agreement is expected to be completed within the coming weeks. According to the organizations, the merger would create more resources and a broader network of services to improve patient care across the organizations' footprints in the Upper Midwest.

The merger plans, pending final agreement and regulatory review, would serve patients in Wisconsin, Upper Michigan, southeastern Minnesota, and northeast Iowa through 11 hospitals and more than 100 clinic locations. Headquarters would be maintained in both system's current locations in Green Bay and La Crosse, with the CEO at one location and board chair at the other location to create a balanced leadership structure.

"As health systems, our missions, visions and values complement each other, and the people and communities we serve are at the core of the care and service we provide," Bellin Health president and CEO, Chris Woleske, said in a statement. "Joining together would allow us to maintain and enhance the top-quality care to which our patients and communities are accustomed — and ensure that care endures for another 100 years and beyond."

The nonprofit health systems say they are "committed to people, not profits," and will continue to reinvest more than $210 million each year back into their respective communities. Through the merger, the communities served will continue to benefit from the organizations' reinvestment work and will experience advancements in population health and health equity initiatives.

"This merger would bring new opportunities to expand this important community-minded work," Gundersen Health System CEO, Scott Rathgaber, MD, said in a statement. "We invest dollars to improve health outcomes, specifically for marginalized individuals and broadly for everyone in our care. Through this model, we also work hard to lower or maintain premiums on health plans, which reduces costs for the employers and businesses we serve."

Gundersen CEO, Rathgaber, would serve as the new system's CEO, while the current chair of the Bellin Health board of directors, John Dykema, would serve as the chair of the newly created board. Bellin CEO, Woleske, would serve as system executive vice president and regional president of the northern counties.

Melanie Blackman is a contributing editor for strategy, marketing, and human resources at HealthLeaders, an HCPro brand.


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