Philadelphia’s Healthcare Landscape Transforms with Jefferson University and Lehigh Valley Health Network Merger

Jefferson University has finalized the acquisition of Lehigh Valley Health Network, creating a 30-hospital system based in Philadelphia. This new system will cover a vast geographical area, stretching from South Jersey to the Scranton region, and will rank among the top 15 nationwide in terms of revenue.

The merger was initially announced in December and is expected to be completed this summer pending regulatory approval. The CEOs of Jefferson and Lehigh Valley see this union as an opportunity to improve healthcare services for their communities by enhancing care efficiency and quality. Their primary goal is not just to cut costs but to provide better healthcare services.

With a combined workforce of 65,000 individuals and 700 locations, the merged systems expect to operate with a revenue of $14 billion in fiscal 2023. Following the completion of the acquisition, Joseph G. Cacchione will continue as CEO of the combined organization while Brian A. Nester transitions from his role as CEO of Lehigh Valley to become Jefferson’s chief operating officer and president of the former Lehigh Valley businesses.

As part of the arrangement, Baligh R. Yehia, who currently serves as president of Jefferson health businesses, will take on the position of chief transformation officer at Jefferson while maintaining his role as president of legacy Jefferson Health operations. Several Lehigh Valley board members will also join Thomas Jefferson University’s board following the merger.

The deal represents an exciting opportunity for both organizations to grow their reach and provide better healthcare services for their communities in Pennsylvania and beyond.