The Illinois Health Facilities and Services Review Board approved Peoria, Ill.-based OSF HealthCare's acquisition of Kewanee (Ill.) Hospital, marking an end to the transaction process.
OSF HealthCare and Kewanee Hospital, a 25-bed critical access hospital located about 50 miles north of Peoria, signed a definitive agreement in October after agreeing to an initial letter of intent to affiliate in November 2012. Kewanee Hospital will be the system's ninth hospital.
Under the deal, all Kewanee Hospital employees would become OSF HealthCare employees. In addition, since OSF HealthCare is a Catholic-based health system, Kewanee Hospital medical staff members will have to abide by the Ethical and Religious Directives for Catholic Health Care Services.
Kewanee Hospital will also change its name to OSF St. Luke Medical Center, effective April 2, 2014. Financial terms of the agreement were not disclosed.
"Kewanee Hospital is committed to providing quality healthcare services to our community," Kewanee Hospital CEO Lynn Fulton said in a news release. "Our team is very excited about the affiliation with OSF Healthcare System and what it means for our patients. We believe that together we are better positioned to provide for the needs of our patients far into the future."
OSF HealthCare is also in the process of adding Rochelle (Ill.) Community Hospital, another critical access hospital, to its network.
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