Kaiser Foundation Hospitals' new nonprofit Risant Health is acquiring Geisinger Health
Risant Health was created to accelerate the adoption of value-based care in diverse, multi-payer, multi-provider, community-based systems.
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Kaiser Foundation Hospitals' new nonprofit organization Risant Health is acquiring Geisinger Health as the first health system to join the organization.
Upon regulatory approval, Geisinger will become part of the new organization through acquisition, according to Kaiser.
The move was announced Wednesday by both the Kaiser Foundation Hospitals and Geisinger Health. The definitive agreement will make Geisinger the first health system to join Risant Health.
Geisinger will maintain its name and mission and will continue to work with other health plans, employed physicians and independent providers.
The Pennsylvania-based health system gains Risant Health's value-based platform for care practices and capabilities in areas such as care model design, pharmacy, consumer digital engagement, health plan product development and purchasing, Kaiser said in the release. As the first health system to become part of Risant Health, Geisinger will participate in developing the organization's strategy and operational model.
WHY THIS MATTERS
Risant Health is a new nonprofit organization, created by Kaiser Foundation Hospitals, to expand and accelerate the adoption of value-based care in diverse, multi-payer, multi-provider, community-based health system environments.
It is expected to grow by acquiring and connecting a portfolio of like-minded, nonprofit, value-oriented community-based health systems anchored in their respective communities. Health systems that become part of Risant Health will continue to operate as regional or community-based health systems while gaining expertise, resources, and support through Risant Health's value-based platform, Kaiser said.
Risant Health will operate separately and distinctly from Kaiser Permanente's core integrated care and coverage model while building upon Kaiser Permanente's 80 years of expertise in value-based care.
The innovative move is designed to improve the health of communities, achieve better healthcare outcomes and improve healthcare affordability, Kaiser said.
"Our mission calls on us to find new ways to promote high-quality, affordable, and evidence-based care with equitable and improved health outcomes. Through Risant Health, we will make our value-based care expertise, technology and services available to community-based health systems, like Geisinger, to strengthen their ability to provide value-based care models with a focus on high-quality and equitable health outcomes," said Greg A. Adams, chair and CEO of Kaiser Permanente.
"We know fully replicating KP's closed integrated care and coverage model is not viable in all communities. By helping other health systems achieve our value-based quality outcomes and savings in multi-payer, multi-provider environments, we believe Risant Health can deliver a transformative new solution to America's systemic healthcare problems."
Dr. Jaewon Ryu, president and CEO of Geisinger Health, has been selected to serve as CEO of Risant Health. Ryu will transition from his current role as president and CEO at Geisinger Health as the transaction between Risant Health and Geisinger closes.
"Geisinger is excited for what joining Risant Health will mean both for our system and for the communities we serve in Pennsylvania," Ryu said. "Geisinger will be able to accelerate our vision and continue to invest in new and existing capabilities and facilities, while charting a path for the future of American healthcare, through Risant Health. Kaiser Permanente and Geisinger share a vision for the future of health care, and as the Risant Health name indicates, we believe by working together we will reach new heights in health care and raise the bar for better health for all communities."
THE LARGER TREND
Risant Health is a nonprofit affiliate of Kaiser Foundation Hospitals, which will be headquartered in the Washington, DC, metro area. The definitive agreement between Risant Health and Geisinger Health is subject to state and federal regulatory review.
Geisinger and Kaiser Foundation Hospitals are nonprofit healthcare organizations with similar missions, Kaiser said. Geisinger includes 10 hospital campuses while Kaiser Permanente in California has 39 hospitals.
ON THE RECORD
"Our nation and the healthcare industry have long waited for an organization to step up and lead by bringing forward meaningful solutions to improve healthcare in America," said John C. Bravman, president of Bucknell University and chair of the Geisinger Health Board of Directors. "It is clear now that Kaiser Permanente is that leader, and the launch of Risant Health will make better health easier, more accessible and more affordable for the people and communities we serve in Pennsylvania."
Twitter: @SusanJMorse
Email the writer: SMorse@himss.org
