Delnor and Central DuPage health systems to merge

By Bruce Japsen
Posted Oct. 5, 2010 at 6:52 p.m.

The parent companies of DelnorĀ  Hospital in Geneva and Central DuPage Hospital in Winfield said Tuesday they have signed an agreement to merge their operations in Chicago’s northwest suburbs.

The deal comes as the health care overhaul law is being implemented over the next four years, triggering a wave of consolidation of hospitals and doctor practices across the country.

Medical care providers are looking to gain economies of scale and pool resources to invest in information systems and clinical programs and gain negotiating leverage with insurance companies who pay them.

“Our mutual goal is to build on the momentum of our respective investments in primary care, specialty care and advancement of the destination service lines at both campuses,” said Luke McGuinness, chief executive of Central DuPage Health System, the parent of 313-bed Central DuPage Hospital.

McGuiness will be the chief executive of the health system, which will be governed by a board with “equal representation” from Central DuPage and Delnor Health System, parent of 159-bed Delnor Hospital.

Thomas Wright, CEO of Delnor, will continue as president of Delnor and have an executive leadership role in the combined health care system.

Financial terms were not disclosed. It is also unclear when the transaction may close, but both parties said they plan due diligence over the coming months.

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One comment:

  1. Tom Nihill Oct. 5, 2010 at 4:08 pm

    Are you kidding me? So typical of us Americans to want something (“Greener” packaging) but not want to be inconvenienced in the least to implement it (…too NOISY?).