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New Healthsystem Coming To Eastern Pennsylvania and Southern New Jersey



Jefferson and LVHN plan to create a leading integrated care delivery system, including a national research university and an expanded not-for-profit health plan. They aim to improve rural and urban community health and well-being through their healthcare delivery network, learning environment, and Medicare, Medicaid, and ACA insurance offerings in Eastern Pennsylvania and Southern New Jersey. Completing a definitive agreement, regulatory approvals, and closing conditions will enable the combined system to enhance its capabilities.


Both organizations, known for their commitment to population health management and quality care, have positively impacted community health. Their combined capabilities and footprints will accelerate access to advanced healthcare services and insurance benefits tailored to their communities. Their academic programs, particularly at Thomas Jefferson University, will strengthen the learning environment, increase clinical training and research opportunities, and offer health plan beneficiaries more choices. The merged entity will operate 30 hospitals and over 700 care sites, with more than 62,000 faculty, clinicians, and staff.


Joseph G. Cacchione, MD, CEO of Jefferson, emphasizes the need for evolving health systems to meet changing community needs, focusing on enhanced, affordable, high-quality, and innovative care, especially for underserved patients. He believes the merger will address health disparities and improve health outcomes more efficiently and effectively in the region.


Brian A. Nester, DO, MBA, MS, FACOEP, President and CEO of LVHN, shares the excitement about the merger's immediate and long-term benefits. He praises Jefferson for its successful health plan, focusing on Medicaid and Medicare beneficiaries. Nester anticipates that the expertise from Jefferson Health Plans will drive improvements in health outcomes, particularly for vulnerable populations. He also looks forward to expanding academic and talent development programs, enhancing the provider pipeline, and attracting and retaining top talent.


The transaction is expected to close in 2024, subject to regulatory reviews and conditions. Jefferson and LVHN will operate independently until then, ensuring uninterrupted exceptional care. Post-merger, Cacchione will continue as CEO of Jefferson Enterprise, with Nester as Executive Vice President/COO and President of Lehigh Valley Health Network and Dr. Baligh R. Yehia as Executive Vice President/Chief Transformation Officer and President of Jefferson Health. The integrated Board of Trustees and leadership team will comprise members from both systems.


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