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Markets··2 min read·

Rush and Endeavor Health announce merger to form Illinois giant

The combined system would operate 12 hospitals and more than 400 care sites, with a target close in early 2027.

Rush and Endeavor Health announce merger to form Illinois giant
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Merger details and leadership

On Wednesday, Rush University System for Health and Endeavor Health revealed plans to combine, which would form one of Illinois' biggest health systems. The facilities would keep the Rush brand, while the Endeavor name recently taken on by the former North Shore University Health System would be retired. After the deal is finalized, Endeavor Health President and CEO J.P. Gallagher is set to lead the combined system. Dr. Omar Lateef, Rush's president and CEO, who had said he would retire in 2027, will stay in his position until the transaction concludes, then become CEO Emeritus and Strategic Advisor to the CEO.[S1]

A 20-member system board would be formed, with Rush and Endeavor board members represented equally and a chair chosen from the Rush system. Endeavor, based in Evanston, runs hospitals in Evanston, Glenview, Highland Park, Skokie, Arlington Heights, Elmhurst, Naperville and Chicago. Rush operates hospitals in Chicago, Aurora and Oak Park. The combined entity would employ over 46,000 workers and clinicians, caring for more than 2 million patients each year throughout Northern Illinois and Northwest Indiana.[S1]

Investment and regulatory path

Gallagher stated that the merger would bring patients and communities better access, advanced research and high-quality care recognized nationally, close to where they live. He noted that an additional $1 billion investment, provided by Endeavor Health, would boost community impact, academics and research, and quality and care innovation across the region. A substantial share of that funding would go toward community partnerships tackling social determinants of health and building lasting infrastructure to serve the underserved.[S1]

The deal is expected to be completed in early 2027, pending regulatory review and approval. Almost ten years ago, NorthShore abandoned a proposed merger with Advocate Health Care after a federal judge sided with a Federal Trade Commission challenge to that deal. Gallagher, however, expressed confidence on Wednesday that the new agreement would receive approval.[S1]

Combined footprint and services

The companies said the merger would result in a business running 12 hospitals and over 400 care locations. At present, Rush oversees Rush University Medical Center, Rush University, Rush Copley Medical Center and Rush Oak Park Hospital. Endeavor Health manages Edward (Naperville), Elmhurst, Evanston, Glenbrook (Glenview), Highland Park, Northwest Community (Arlington Heights), Skokie and Swedish (Chicago) and Linden Oaks Behavioral Health Hospital (Naperville).[S2]

Sources: Evanston Now · Abc7chicago
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WHAT THEY'RE SAYING
  • Together, Rush and Endeavor Health have an opportunity to create a stronger, more connected health system that sets a new standard for how care is delivered and experienced across our communities.
    Gerald "J.P." GallagherPresident and CEO of Endeavor Healthvia Abc7chicago

    Gallagher is describing the potential of the merger to improve health care delivery across the communities served by both systems.

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    Topics
    Rush University System for HealthEndeavor Healthhospital mergerIllinois healthcareJ.P. Gallagher
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