HOUSTON (Oct. 1, 2018) — The boards of
Baylor Scott & White Health and Memorial
Hermann Health System have signed a letter
of intent to merge into a combined system to
further strengthen communities, advance the
health of Texans and transform the delivery of
healthcare.
As two of the most comprehensive not-forprofit
health systems in Texas, Baylor Scott
& White Health and Memorial Hermann, both
founded as faith-based organizations, share
similar missions and values. Equally important,
they share like-minded, forward-thinking
visions for the future. This proposed combined
health system is positioned to become a national
model for integrated, consumer-centric,
cost-effective care.
“This is about two mission-driven organizations
– both committed to making safe,
high-quality healthcare more convenient and affordable – building something transformative
together,” said Jim Hinton, CEO, Baylor Scott & White Health. “We must lead the change in our
industry, while insisting we continue to fulfill our unwavering commitments to meeting the needs
of all Texans.”
The health systems, both nationally recognized and dedicated to improving access and continuity
of care, serve as vibrant, economic engines in more than 30 Texas counties, employing
more than 73,000 across the state. Both have strong ties to the academic medical community,
and together will be positioned to expand those affiliations to advance medical training and research
programs, while continuing to attract and retain the very best talent.
“Together, we believe we will be able to accelerate our commitments to make care more consumer
centric; grow our capabilities to manage the health of populations; and bend the unsustainable
healthcare cost curve in the state,” said Chuck Stokes, president and CEO, Memorial
Hermann. “Through this combined system, we have a unique opportunity to reinvent healthcare
and make a profound difference in the lives of millions of Texans.”
Together, the two systems include 68 hospital campuses, more than 1,100 care delivery sites,
nearly 14,000 employed, independent and academic physicians and two health plans; and they
currently record nearly 10 million patient encounters annually.
“Memorial Hermann has proudly served the Greater Houston area for more than 110 years
with nationally recognized, high-quality patient care,” said Deborah Cannon, chair of the Memorial
Hermann Health System Board of Directors. “Our mutual history of providing accessible and
leading-edge healthcare for all people has laid a strong foundation for our shared vision to build
a future together for the benefit of all Texans.”
With approval of the letter of intent, the two organizations have entered into a period of exclusive
negotiations, due diligence and the standard regulatory review processes. The next stage
in the transaction – a definitive agreement – is anticipated to be complete in 2019.
For more information, visit www.TransformingHealthTogether.com.
