Morristown, N.J.-based Atlantic Health System and New Brunswick, N.J.-based Saint Peter's Healthcare System have signed a letter of intent to bring Saint Peter's into Atlantic Health's care network to expand care access.
Under the terms of the letter, Atlantic Health would make "significant investments" in Saint Peter's and its service area, including the transition of Saint Peter's onto Atlantic Health's electronic medical record system, according to a Jan. 31 Atlantic Health System and Saint Peter's Healthcare System joint news release shared with Becker's.
Saint Peter's would continue its Catholic-based mission under the partnership and abide by the ethical and religious directives for Catholic healthcare services.
The venture would also grow the health systems' ongoing relationship across the Healthcare Transformation Consortium, which is led by Atlantic Health and was created to provide New Jersey employees with broader and more affordable health insurance.
"Although Saint Peter's is stronger today than ever, throughout this journey it has become clear that to assure our future success, we need a strategic partner whose resources, capabilities and values are aligned with our mission," Leslie D. Hirsch, president and CEO of Saint Peter’s Healthcare System, said in the release.
News of the merger comes after Saint Peter's terminated a definitive agreement with West Orange, N.J.-based RWJBarnabas Health in June 2022
The health systems are working to develop a definitive agreement. State and federal official approvals, along with an approval from the Catholic Church, are required prior to a completed transaction.
Sponsored by the Roman Catholic Diocese of Metuchen, Saint Peter's Healthcare System comprises New Brunswick-based Saint Peter's University Hospital, a 478-bed acute care teaching hospital, a state-designated children's hospital and regional perinatal center; the Saint Peter's Foundation; Saint Peter's Health and Management Service Corp.; Saint Peter's Physician Associates; and additional outpatient facilities.
A nonprofit health system, Atlantic Health System features more than 550 care sites, including seven hospitals, and includes Atlantic Medical Group, which comprises over 1,600 physicians and advanced practice providers. It has over 20,000 employees, including 5,440 affiliated physicians.