KishHealth System Signs Letter of Intent with Northwestern Memorial HealthCare
KishHealth System (KHS), a two-hospital integrated nonprofit health system based in DeKalb, IL, has signed a Letter of Intent to explore an affiliation with Northwestern Memorial HealthCare (NMHC). The Boards of KHS and NMHC elected to enter a diligence phase, which, if completed to the satisfaction of both parties, would culminate in KishHealth becoming the newest member of NMHC. This step was approved after a rigorous exploration of KHS’s strategic options, including a process which evaluated a number of potential partners and partnership structures. The affiliation with KHS expands the footprint of NMHC beyond greater Chicago into rural markets and builds upon the momentum of NMHC’s recent acquisition of Cadence Health, a two-hospital system based in Chicago’s western suburbs. KHS would further enhance NMHC’s development of a health system that brings together strong community-based provider care with the clinical innovation and research of a preeminent academic medical center.
Juniper was engaged by the Board of KishHealth to assess the healthcare landscape, identify and validate the Board’s goals and objectives, and consider a range of alternative affiliation arrangements. Juniper sought market input to explore KHS’s potential opportunities, matched objectives with partner capabilities, and negotiated the terms of a strong and mutually beneficial arrangement.
KHS is an integrated nonprofit health system serving communities in the greater DeKalb County area west of Chicago. The system is comprised of two nonprofit community hospitals, hospice, home health, behavioral health, a cancer center, surgicenter, and the KishHealth Physician Group, among other services. KHS is the second largest employer of DeKalb County after Northern Illinois University and is accredited by the Joint Commission.
Northwestern Memorial HealthCare
NMHC is a $2.4 billion revenue, four-hospital academic health system whose entities operate as Northwestern Medicine. The system includes over 60 sites of care throughout greater Chicagoland. NMHC’s flagship hospital, located in downtown Chicago, is ranked No. 1 in Chicago and Illinois and was ranked No. 10 in the nation according to the U.S. News & World Report 2014-2015 Honor Roll of America’s Best Hospitals. Northwestern Medicine, which is a collaboration between NMHC and Northwestern University Feinberg School of Medicine, comprises a combined workforce of more than 25,000, including more than 4,000 aligned physicians.
For additional information, please refer to the press release.