More on Mergers & Acquisitions

Loyola Medicine, Palos Health expand partnership with plans to fully merge

The two systems have signed a non-binding letter of intent and due diligence is expected to take several months.

Beth Jones Sanborn, Managing Editor

Courtesy Loyola MedicineCourtesy Loyola Medicine

Illinois hospital systems Loyola Medicine and Palos Health plan to merge, according to a joint announcement made Monday. The two systems have signed a non-binding letter of intent and due diligence is expected to take several months. The terms of the LOI are not being disclosed. Palos Health will continue to operate as a not-for-profit corporation.


The proposed merger will expand the organizations' partnership, Loyola's footprint and access to care and services. The hope is that the merger will help keep staff in-house and attract new clinical talent.

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Palos Health and Loyola Medicine formed an academic affiliation in 2015 that enabled the expansion of services for Palos. That partnership enabled several patient-care initiatives including a telestroke program allowing Loyola stroke specialists to communicate with Palos Hospital patients at their bedside. It also streamlined trauma transfers and subspecialty referrals from Palos to Loyola, the systems said.

Palos opened an 83,000-square-foot expansion of the Palos Health South Campus in Orland Park in 2017 which touts 47 specialty and primary care exam rooms and is staffed by Loyola physicians. The two systems also own a joint outpatient surgery center and a radiation oncology center.


Loyola Medicine includes Loyola University Medical Center, Gottlieb Memorial Hospital, MacNeal Hospital and its affiliated operations acquired from Tenet Healthcare in 2018. The systems also include a large primary and specialty care ambulatory network. Loyola Medicine is a member of Trinity Health.

Palos Health includes Palos Hospital, Palos Medical Group, Palos Health South Campus in Orland Park, Palos Imaging and Diagnostics, Palos Home Care and Hospice and Chicago Health Colleagues, a clinically integrated physician network. The system staffs more than 3,000 employees and nearly 900 volunteers.


"Our patients are our priority at Palos Health and one way we have maintained this commitment is by seeking strategic partnerships to best serve our communities. By fully integrating with Loyola Medicine, we will enhance our clinical strength, increase our flexibility and provide our community with more comprehensive care across an expanded region,"  said Dr. Terrence Moisan, president and CEO of Palos Health.

"Many physicians at Palos Health trained at Loyola University Medical Center and we have been providing tertiary care to Palos patients in the south and southwest suburbs for decades. A strong partnership with the exceptional clinicians at Palos will provide greater value to the members of our communities," said Shawn P. Vincent, president and CEO of Loyola Medicine and president of Trinity Health's Illinois region.

Twitter: @BethJSanborn
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