Kaiser Permanente’s Risant Well being, the nonprofit subsidiary created to speed up the adoption of value-based care in community-based well being methods, has finalized its acquisition of Pennsylvania-based Geisinger well being system, which has 10 hospitals. The deal was first introduced in April 2023. Risant mentioned it expects to accumulate 4 to 5 further well being methods over the following 4 to 5 years.
By way of this primary acquisition, Washington, D.C.-based Risant brings collectively Kaiser Permanente’s built-in care and protection experience and Danville, Pa.-based Geisinger’s expertise in advancing value-based care in a mannequin that features numerous payers and a broad community of suppliers, whereas serving among the most susceptible and marginalized communities.
With the shut of the Risant Well being and Geisinger transaction, Jaewon Ryu, M.D., J.D., who has served as Geisinger’s president and CEO since 2019, will grow to be the primary CEO of Risant Well being. As introduced in March 2024, Terry Gilliland, M.D., will assume the position of president and CEO of Geisinger as soon as Ryu’s transition to Risant Well being is full.
Because the Scranton Instances-Tribune famous, monetary statements launched final Could confirmed that Kaiser Basis Hospitals designated as much as $5 billion “to help core Risant Well being capabilities, applied sciences, instruments and future investments” and can make investments at the very least $400 million over the five-year interval following closing, the monetary statements mentioned.
Risant and Geisinger will work collectively to create a brand new value-based care platform that features finest practices, instruments, know-how and providers to help community-based well being methods. Risant Well being’s value-based platform will help its well being methods with a set of know-how, providers and capabilities designed to ship superior well being outcomes and a decrease complete price of care, in various enterprise fashions.
“Risant Well being and Geisinger share a imaginative and prescient for the way forward for well being care. By way of Risant Well being, we are going to leverage our industry-leading experience and innovation to extend the nation’s entry to high-quality and evidence-based well being care, which we all know improves care high quality and the affected person and member expertise,” mentioned Risant Well being’s board chair, Greg A. Adams, in a press release. “We may also study and profit from Geisinger and the extra well being methods that grow to be a part of Risant Well being sooner or later, to assist them develop in new methods, be extra reasonably priced and convey value-based care to extra individuals.”
Geisinger will preserve its identify and mission, proceed accepting sufferers coated by different well being plans and proceed providing its members a broad community of care suppliers along with Geisinger, Risant mentioned.
“Geisinger is proud to formally be a part of Risant Well being as its inaugural well being system, which is able to speed up our imaginative and prescient to make higher well being simpler, extra reasonably priced and extra accessible for the communities we serve,” mentioned Ryu, in a press release. “Geisinger now can lengthen its imaginative and prescient, technique and affect to extra Pennsylvanians due to the entry to an expanded set of instruments, experience and capital that becoming a member of Risant Well being gives.”
When the deal was introduced final 12 months, Cindy Lee, chief technique officer on the Chicago-based Chartis consulting agency and chief of the agency’s technique apply, famous that “Kaiser and Geisinger have been on completely different value-based care journeys for fairly a while, and coming collectively to franchise capabilities might make lots of sense. Many well being methods are taking one other take a look at value-based care methods given shifting demographics, continued elevated Medicare Benefit penetration, and corporations with deeper pockets searching for to achieve entry to those lives,” she added. “Shifting to a value-based care mannequin of care can require important investments in capabilities the place scale does matter so partnering is sensible.”
