Clarion Hospital Butler Health System Merger Gets State Approval

| November 21, 2019

CLARION CO., Pa. (EYT) – Clarion Healthcare System (CHS) and Butler Health System (BHS) announced Thursday that the Office of the PA Attorney General and Department of Health officially signed off on the merger agreement between the two healthcare providers.

According to a press release, the notice of regulatory approval to integrate CHS and its affiliates, including Clarion Hospital, into Butler Health System, was received by both organizations on Wednesday, November 20.

The formal integration of CHS as a subsidiary of BHS is set to begin on December 1, 2019.

Through combined efforts, BHS and CHS will continue to assure and solidify care in their communities, providing high quality, accessible, and affordable services. With BHS, CHS looks forward to strategic investments in new programs, services and technology, all of which are important to keeping quality care close to home.

BHS and CHS initially announced the signing of a letter of intent in February, following the CHS Board’s selection process.

Following the announcement, BHS and CHS conducted extensive due diligence. Due diligence includes the study of each organization’s assets and liabilities, operations, and financial performance. Once due diligence was substantially complete and the definitive agreement executed, the proposed transaction was ready to send to regulatory authorities for review and approval.

In July of 2019 Butler Health System (BHS) and Clarion Health System (CHS) submitted a signed and executed definitive agreement to regulatory authorities for review and approval. These authorities included without limitation the PA Office of Attorney General and Department of Health.

Clarion Healthcare System (CHS) is composed of four affiliates: Clarion Hospital, Health Services of Clarion, Inc., Clarion Development Corporation, Inc., and Clarion Hospital Foundation, all located in Clarion Pennsylvania. Clarion Hospital is a licensed 70-bed community hospital and provides 24-hour emergency department, and includes an eight bed inpatient rehab center, women’s health and birthing services, advanced wound healing hyperbaric center, sleep lab, ICU and a Cancer Center offering chemotherapy and radiation therapy.

Butler Health System (BHS), located in Butler, Pennsylvania, is the parent of Butler Memorial Hospital, its affiliates, and a number of subsidiaries. Butler Memorial hospital is a 326-bed acute-care facility with a broad range of surgical, medical, emergency, and psychiatric services. Butler Health System employs 200 physicians and advanced providers through Butler Medical Providers. BHS includes 72 outpatient locations across eight counties in Western Pennsylvania. BHS employs more than 2500 people. In 2018, Butler Memorial Hospital was named a “100 Top Hospitals in the United States” by IBM Watson Health, and one of the top cardiac surgery programs in the country by U.S. News & World Report. Butler Health System has a number of partnerships throughout Western Pennsylvania. Examples include Bridges Health Partners, Benbrook Ambulatory Surgery Center, UPMC Cancer Center, Concordia Visiting Nurses and Good Samaritan Hospice, and LIFE Butler County/Lutheran Senior Services.

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