Nonprofit Risant Health has completed its planned acquisition of Geisinger, which paves the way for a change in leadership at both organizations.
Geisinger President and CEO Dr. Jaewon Ryu will become the first CEO of Risant Health. As announced last month, Dr. Terry Gilliland will assume the role of president and CEO of Geisinger once Ryu's transition to Risant is complete.
Washington, D.C.-based Risant was created by Kaiser Foundation Hospitals to expand access to “value-based care." Its planned acquisition of Danville-based Geisinger was first announced last April.
"Geisinger will maintain its name and mission, continue accepting patients covered by other health plans and continue offering its members a broad network of care providers in addition to Geisinger," a joint release stated.
The deal, which closed Sunday, was "reviewed and approved by the appropriate federal and state agencies," the release added. Its terms were not disclosed.
With Geisinger becoming the first health system acquired by Risant, officials said it will play a key role in shaping the new organization's strategy, and operational model as Risant looks to acquire additional community-based health systems.
"Through this first acquisition, Risant Health brings together Kaiser Permanente’s integrated care and coverage expertise and Geisinger’s experience in advancing value-based care in a model that includes various payers and a broad network of providers, while serving some of the most vulnerable and marginalized communities," the release added.
At the same time, "Geisinger will have access to capital, technology and resources to fuel improvements in facilities, drive innovation and investment in patient care, and continue the expansion of Geisinger Health Plan," the release added.
“Geisinger is proud to formally join Risant Health as its inaugural health system, which will accelerate our vision to make better health easier, more affordable and more accessible for the communities we serve,” Ryu said. “Geisinger now can extend its vision, strategy and impact to more Pennsylvanians because of the access to an expanded set of tools, expertise and capital that joining Risant Health provides.”
Geisinger, which also is a nonprofit, generates $10 billion in annual revenues across 134 care sites, including 10 hospital campuses, and Geisinger Health Plan, with 600,000 members in commercial and government plans. Geisinger employs 26,000 people, including 1,600 physicians.
