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Essentia Health negotiating potential merger with Marshfield Clinic Health System

by John R. Fischer, Senior Reporter | October 14, 2022
Business Affairs
Essentia Health is discussing a potential merger with Marshfield Clinic Health System.
Essentia Health, headquartered in Minnesota, is in talks with Marshfield Clinic Health System, in Wisconsin, about possibly merging into an integrated regional health system.

The proposed organization would offer care in Wisconsin, Minnesota, Michigan and North Dakota, all of which are served by either or both Essentia and Marshfield Clinic.

It would consist of 3,800 providers at more than 150 sites of care, including 25 hospitals, who would care for over two million patients in rural and mid-urban communities.

“When I look at Essentia, I see an organization with world-class expertise that complements our own. And I see their long, rich history of serving communities with a mission very similar to ours at Marshfield Clinic Health System,” said Marshfield Clinic Health System CEO Dr. Susan Turney, in a statement.

Essentia was founded in 2004 through a partnership between the Benedictine Health System and the SMDC Health System, and serves patients in Minnesota, North Dakota and Wisconsin.

Based in Duluth, it has 15,000 employees, including 2,160 physicians and advanced practitioners. It has many Catholic facilities and is made up of a total of 14 hospitals, 77 clinics, six long-term care facilities, three assisted living facilities, three independent living facilities, six ambulance services, 24 retail pharmacies, and one research institute.

One of a few large independent nonprofit medical clinics in the U.S., Marshfield Clinic employs more than 12,000 individuals, including 1,600 providers across 170 specialties. It cares for patients in Wisconsin and the upper Michigan peninsula, and also has a health plan, and research and education programs.

It was incorporated under Wisconsin law in 1916 and is a charitable corporation with all its assets held in a charitable trust. Additionally, it experiences 3.2 million patient encounters ​​and sees approximately 310,000 unique patients annually.

Together, both organizations would increase patient access to primary and specialty care, and be able to expand services at more affordable rates, says Essentia CEO Dr. David Herman.

“I have known and admired the work of Marshfield Clinic for more than 30 years,” he said. “I have always appreciated their ability to advance the well-being of the communities they serve."

No financial details about the proposed deal were disclosed at this time.

Essentia did not respond for comment.

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