Marshfield Clinic Health System and Sanford Health Announce Intent to Combine
Transaction Announcement
Sanford Health, the largest rural health system in the U.S., headquartered in Sioux Falls, South Dakota, and Marshfield Clinic Health System, a physician-led integrated health system serving rural Wisconsin and Michigan’s Upper Peninsula, today announced a nonbinding Memorandum of Understanding to combine their complementary assets and capabilities and create an integrated health system dedicated to advancing world-class care in the rural Midwest.
“Partnering with Sanford Health presents an incredible opportunity for our organizations to unite and establish the premier rural health system in the nation,” said Brian Hoerneman, M.D., interim CEO of Marshfield Clinic Health System. “Together, we will ensure sustainable access to exceptional care for our communities for years to come. With a shared mission to serve, a mutual emphasis on research and education, and a strong tradition of physician leadership, Sanford Health is the ideal partner for this endeavor.”
Sanford Health has pledged substantial financial support to Marshfield Clinic Health System. With a significant commitment of capital over the next five years, these resources will facilitate strategic capital investments to fortify patient access, expand services, and modernize facilities.
The union of these two healthcare leaders will create a $10B+ integrated system and enable significant advancements in care delivery. By leveraging their combined expertise and resources, the partnership will harness health information technology, world-class research programs, innovative provider-based health plans, and complex, physician-led clinical care in rural markets.
Juniper’s Role
Engaged by Marshfield Clinic Health System’s Board, Juniper Advisory proactively assessed strategic alternatives to enhance the system’s national reputation as a premier provider of integrated rural healthcare services. Juniper evaluated partnership options aligned with the system’s objectives of strengthening operational performance, supporting its world-class medical staff and expanding growth opportunities to meet the needs of its rural communities close to home.
Throughout the process, Juniper enabled the system’s Board and management to navigate complex decisions effectively. Juniper initiated and managed a rigorous process to evaluate potential partners, ensuring alignment with the system’s objectives. This included managing a broad range of interest from local, regional and national potential partners; drafting detailed information materials; supporting the Board’s evaluation of alternatives; and assisting with the negotiations of the agreement between the Marshfield Clinic and Sanford Health.
About Marshfield Clinic Health System
Marshfield Clinic Health System is an integrated health system whose mission is to enrich lives through accessible, affordable compassionate health care. The Health System serves Wisconsin and Michigan’s Upper Peninsula with more than 1,400 providers comprising 170 specialties, health plan, and research and education programs. Primary operations include more than 60 Marshfield Clinic locations, 11 hospitals, Marshfield Children’s Hospital, Marshfield Clinic Research Institute, Security Health Plan and Marshfield Clinic Health System Foundation.
About Sanford Health
Sanford Health, the largest rural health system in the United States, is dedicated to transforming the health care experience and providing access to world-class health care in America’s heartland. Headquartered in Sioux Falls, South Dakota, the organization serves 1.4 million patients and nearly 200,000 health plan members across 250,000 square miles. The integrated health system has 45 hospitals, 211 clinic locations, more than 160 Good Samaritan Society senior living centers, 2,900 Sanford physicians and advanced practice providers, 540 active clinical trials, and nine world clinic locations around the globe.
To learn more, please refer to the Marshfield Clinic Health System website. For more information about Juniper, contact Jordan Shields at 312.506.3005 or [email protected].
About Juniper Advisory
Juniper is a specialized investment banking firm focused exclusively on non-profit hospital system mergers and acquisitions. The team is generally considered the most experienced in the country advising health systems on business combination transactions for four decades.