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MercyOne-Genesis Health System merger closed

Trinity Health’s MercyOne and Genesis Health System have finalized their merger, the nonprofit health systems announced Wednesday.

Under the agreement, Davenport, Iowa-based Genesis’ five hospitals and other operations will become part of MercyOne, a West Des Moines, Iowa-based health system that comprises 18 hospitals.

The combined health system does not plan to lay off employees or cut services, MercyOne President and CEO Bob Ritz said during a news conference Wednesday.

MercyOne, which is part of Livonia, Michigan-based Trinity Health, and Genesis signed a letter of intent to merge in September. Trinity completed its acquisition of MercyOne in April when it bought the remaining shares of a joint operation from Chicago-based CommonSpirit Health.

Genesis will spin off one of its two philanthropic divisions as part of the deal. Genesis Philanthropy will operate under a new name, the Better Health Foundation, and Genesis Health Services Foundation will be integrated into the new company. Genesis gave $40 million to the Better Health Foundation, which will be operational on July 1, according to a news release.

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