Wellmont Health System and Mountain States Health Alliance are merging assets and operations to create a new, yet-to-be named health system serving Northeast Tennessee, Southwest Virginia, Southeastern Kentucky and Western North Carolina, the healthcare providers announced.
Bart Hove, president and CEO of Wellmont, will become president and CEO of the new system. Alan Levine, president and CEO of Mountain States, will be executive chairman and president.
The integration moves the health systems away from fee-for-service to care that’s value based, eliminating unnecessary costs and making healthcare more affordable, Levine said in a statement.
The deal is subject to regulatory requirements in Tennessee and Virginia and will likely close toward the end of 2015.
A new, combined board of directors will direct the proposed health system, which will also have a new name, according to the statement. The new board will have equal representation from Wellmont and Mountain States, as well as having two new independent, jointly-appointed members.