ScionHealth will launch via a combination of Kindred’s long-term acute care hospitals and 18 of LifePoint’s community hospitals.
ScionHealth, a new healthcare company, will be created from LifePoint Health's acquisition of Kindred Healthcare upon closing of their previously announced transaction.
ScionHealth, to be headquartered in Louisville, Kentucky, will consist of 79 hospital campuses in 25 states, including Kindred’s 61 long-term acute care hospitals and 18 of LifePoint’s community hospitals and associated health systems.
"As our teams began to examine how best to bring together the operations of LifePoint and Kindred, it became increasingly clear that we had the right mix of talent, services, and assets to reorganize into two strong companies to better serve our patients and communities," said David Dill, president and CEO of LifePoint.
"In forming two companies with unique areas of focus, LifePoint Health and ScionHealth can improve access to quality care, create more opportunities for our employees, and invest in our communities," Dill said in a press release.
The new healthcare company will be led by a management team drawing from both LifePoint and Kindred. Rob Jay, currently serving as executive vice president of integrated operations at LifePoint, will serve as the chief executive officer (CEO) of ScionHealth.
"The prospect of launching ScionHealth is exciting for our teams and our communities, and I'm honored to serve as the company's founding CEO," Jay said. "In forming ScionHealth, we selected a cohesive group of community health systems across the LifePoint and Kindred footprint that would benefit from focused attention, resources, and investment. We are looking forward to extending the legacies of LifePoint Health and Kindred Healthcare, honoring Kindred's important corporate leadership role in Louisville, and creating a new platform for growth and innovation in community healthcare."
At the close of the transaction, LifePoint will combine its 65+ remaining hospital campuses as well as its network of physician practices and outpatient centers with Kindred’s rehabilitation and behavioral health businesses. LifePoint will continue to be headquartered in Nashville, Tennessee, and David Dill will remain its president and CEO.
Benjamin A. Breier, CEO of Kindred Healthcare, will, upon close, depart Kindred Healthcare as a result of the transaction.
LifePoint and ScionHealth will have separate leadership and boards of directors. Each ScionHealth hospital will operate under the same name it does today, and their communities will continue to receive quality care delivered by familiar providers.
Upon the completion of regulatory approvals and satisfaction of customary closing conditions, the acquisition of Kindred and the launch of ScionHealth are expected to be completed by the end of the year.
At closing, LifePoint and ScionHealth anticipate entering into transition services arrangements to support operations at both companies.
“In forming ScionHealth, we selected a cohesive group of community health systems across the LifePoint and Kindred footprint that would benefit from focused attention, resources, and investment.”
Rob Jay, chief executive officer, ScionHealth
Carol Davis is the Nursing Editor at HealthLeaders, an HCPro brand.