Irving, Texas-based VHA, a national network of nonprofit healthcare organizations, and Chicago-based University HealthSystem Consortium, an alliance of nonprofit academic medical centers, have announced an agreement to combine into a single organization that will be the largest member-owned healthcare company in the U.S.
The boards of both VHA and UHC have named Curt Nonomaque, president and CEO of VHA, as president and CEO of the new company. Irene Thompson, president and CEO of UHC, will serve in a leadership position focused on academic medical center networks during the transition period.
Marna Borgstrom, president and CEO of Yale-New Haven Health System, will serve as board chair, and Ann Madden Rice, CEO of UC Davis Medical Center, will be vice chair of the board.
The combined organization will offer improved access to leading practices, networking and knowledge sharing among its members. The company will serve more than 5,200 health system members and affiliates, ranging from independent to community-based healthcare organizations, as well as large, integrated systems and academic centers; serve more than 118,000 non-acute healthcare customers; provide services to nearly 30 percent of the nation's hospitals, including nearly all academic medical centers and health systems; and have more than $50 billion in purchasing volume. VHA and UHC's combined data and analytics, as well as the nation's most robust supply chain, will aid many members in improving quality and lowering costs.
The financial terms of the deal, which is expected to close by the end of March, were not disclosed. The combined organization will be headquartered in Irving, Texas, with an office in Chicago. A new company name will be announced at a later date.