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Clarion Hospital, Butler Health System Make Merger Agreement Official

Thursday, August 1, 2019 @ 08:08 AM

Posted by exploreClarion

clarion-hospitalCLARION, Pa. – Clarion Healthcare System (CHS) and Butler Health System (BHS) announced Thursday morning that they have signed a definitive agreement to integrate CHS and its affiliates, including Clarion Hospital, into Butler Health System.

BHS and CHS announced the signing of a letter of intent in February, following the CHS Board’s selection process. Since then, BHS and CHS have conducted extensive due diligence. Due diligence includes the study of each organization’s assets and liabilities, operations, and financial performance. With due diligence substantially complete and the definitive agreement executed, the proposed transaction will now be sent to regulatory authorities for review and approval. These authorities include without limitation the PA Office of Attorney General and Department of Health.

“Both systems believe that by combining their efforts, they can solidify the future of care in their communities, providing high quality, accessible, and affordable services,” said the two systems in a joint release issued Thursday morning. “The proposed transaction will build upon the strengths of CHS and BHS. By working with BHS, CHS will be in a stronger position to make strategic investments in new programs, services and technology, all of which are important to keeping quality care close to home.”

Clarion Healthcare System (CHS) is composed of four affiliates: Clarion Hospital, Health Services of Clarion, Inc., Clarion Development Corporation, Inc., and Clarion Hospital Foundation, all located in Clarion Pennsylvania. Clarion Hospital is a licensed 70-bed community hospital and provides 24-hour emergency department, and includes an eight bed inpatient rehab center, women’s health and birthing services, advanced wound healing hyperbaric center, sleep lab, ICU and a Cancer Center offering chemotherapy and radiation therapy.

Butler Health System (BHS), located in Butler, Pennsylvania, is the parent of Butler Memorial Hospital, its affiliates, and a number of subsidiaries. Butler Memorial hospital is a 326-bed acute-care facility with a broad range of surgical, medical, emergency, and psychiatric services. Butler Health System employs 200 physicians and advanced providers through Butler Medical Providers. BHS includes 72 outpatient locations across eight counties in Western Pennsylvania. BHS employs more than 2500 people. In 2018, Butler Memorial Hospital was named a “100 Top Hospitals in the United States” by IBM Watson Health, and one of the top cardiac surgery programs in the country by U.S. News & World Report. Butler Health System has a number of partnerships throughout Western Pennsylvania. Examples include Bridges Health Partners, Benbrook Ambulatory Surgery Center, UPMC Cancer Center, Concordia Visiting Nurses and Good Samaritan Hospice, and LIFE Butler County/Lutheran Senior Services.

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