CHICAGO — Three Detroit hospitals reached a final agreement to merge into a new $3.8 billion system that will be the largest in southeast Michigan.
Beaumont Health System, Oakwood Healthcare and Botsford Health Care in late March announced that they had penned a letter of intent to merger.
The new system, called Beaumont Health, will have eight hospitals, 153 outpatient sites and employ more than 33,000 workers in the Detroit region.
The deal, announced June 23, still needed various state and federal approvals.
With $2.3 billion in annual revenues, Beaumont is the largest of the three non-profit providers. It has $900 million of outstanding bonds.
Oakwood's revenues total $12 billion and Botsford, a one-hospital system based in Farmington Hills, has $331 million of annual revenue.
"The new health system will be a national model and the name paves the way for an even stronger national voice in the future of health care delivery," Oakwood board chair John Lewis said in a statement.
The new system will combine all debts and assets and be governed by a single board.