Merger gives Alexian Brothers resources to grow
Alexian Brothers Health System Wednesday said a merger with the nation's largest Catholic health system that takes effect Sunday will add resources that will result in faster growth.
No change in staffing or layoffs are expected as Alexian becomes part of St. Louis-based Ascension Health, said Alexian spokesman Matt Wakely.
“We do, however, expect growth in many areas, including an acceleration of the $117 million children's hospital under construction at our Hoffman Estates hospital campus,” Wakely said.
Alexian Brothers, which has administrative headquarters in Arlington Heights, operates Alexian Brothers Medical Center in Elk Grove Village and St. Alexius Medical Center and Alexian Brothers Behavioral Health Hospital in Hoffman Estates, and recently broke ground on Alexian Brothers Children's Hospital in Hoffman Estates. The names will not change. Alexian Brothers also has facilities in Missouri, Tennessee and Wisconsin.
“We are excited about bringing Alexian Brothers' tradition of quality care and expertise in areas like senior services into Ascension Health,” Anthony Tersigni, president and CEO of Ascension, said in a news release.
While the merger was announced last April, Alexian Brothers began seeking a partner more than two years ago, “recognizing the challenges facing hospitals around the country and the imminent demands of health care reform,” according to the news release.
The Illinois Health Facilities and Services Review Board approved the agreement in early December and the final agreement was signed last week. Specific terms were not released.
“Ascension Health has a long traditional of caring for those who are poor and vulnerable, just as we do,” Mark Frey, president and CEO of Alexian Brothers Health System, said in the news release.
At the time the merger was announced, Frey said Alexian Brothers had considered several options. Frey said the deal with Ascension leaves Alexian Brothers with local autonomy, which was important. The merger isn't expected to impact the sponsorship of the Tour of Elk Grove cycling race, he added.
“In the end, the only reasonable, viable agreement was with Ascension,” Frey said. Alexian Brothers began providing health care services in 1866. It was governed by the 800-year-old Congregation of Alexian Brothers.
Ascension was founded in 1999. The network is composed of 66 acute-care hospitals, the nearest being Columbia St. Mary's Hospital in Milwaukee. The addition of Alexian Brothers gives Ascension its first presence in Illinois since it left St. Anthony Hospital in Chicago in 2009. Ascension Health said it provided $1.2 billion in care of persons living in poverty and to community benefit programs last year. It employs more than 113,000 people in more than 1,200 locations in 20 states.
ŸDaily Herald Business Writer Anna Marie Kukec contributed to this report.