This strategic alignment marks the beginning of a long-term, transformational journey to create a new, more proactive, affordable, and equitable system of community-based, lifelong healthcare.
Akron, Ohio-based Summa Health and General Catalyst’s Health Assurance Transformation Corporation (HATCo) announced that the two organizations have signed a non-binding Letter of Intent outlining HATCo’s planned acquisition of Summa Health. This strategic alignment marks the beginning of a long-term, transformational journey to create a new, more proactive, affordable, and equitable system of community-based, lifelong healthcare.
Cliff Deveny, M.D., Summa Health President and CEO, said, “This new structure will better serve our communities clinically, economically and socially. With HATCo, Summa Health will be able to increase local investment and introduce new resources that allow us to expand access to affordable, quality, coordinated care. We’re excited about new opportunities to enhance the patient and provider experience, strengthen our recruitment pipeline, build upon our commitment to medical education and training, and expand the growth of SummaCare to advance health equity and population health across the communities we serve.”
Summa Health’s leadership team will work closely with HATCo, including Dr. Marc Harrison, HATCo CEO and Hemant Taneja, General Catalyst CEO, to leverage their collaborative, complementary expertise in healthcare and health systems to plan the transformation journey. HATCo’s investment into Summa Health will drive not only near-term benefit to the organization and the patients it serves but also sustainable, long-term transformation through a true shift to value-based care.
Marc Harrison, M.D., co-founder and CEO of HATCo, said, “HATCo is grounded in the belief that by making health systems more profitable, vibrant, and innovative, they will be better equipped to serve everyone in their communities with greater impact. We are thrilled to partner with Summa Health to bring this vision to life. The current national healthcare system is fragmented and creates barriers to care and wellness. In partnership with Summa Health, we intend to prove that a model that’s better for patients can also be good for business and create a blueprint for other systems and communities.”
Within the new structure, Summa Health will become a for-profit organization and HATCo and Summa Health will maintain the health system’s commitment to charity care. In addition, as a result of the transaction, a community foundation will be created that advances Summa Health’s mission through increased, focused investment into social determinants of health that benefits the entire Greater Akron area. The health system delivered $210.1 million in community benefit to area residents in 2022 and is deeply committed to continuing this long-standing work to improve the health of its region.
Hemant Taneja, CEO of General Catalyst, and founder and chairman of HATCo, said,“Our shared vision is to create a replicable healthcare model that marks a true and meaningful shift from a ‘sick care’ system to a resilient, proactive model of health assurance. By doing so, we will help people stay well, bend the cost curve through innovation and make quality care more affordable and accessible. I couldn’t be more excited to collaborate and execute on that vision with Summa Health and HATCo. We aim to improve the health and wellbeing of the greater Akron community, create a standard for the health system of the future, and inspire communities across America to adopt this vision.”
George Strickler, Chair of Summa Health’s Board of Directors, said, “This alliance provides Summa Health with comprehensive opportunities to grow our organization in ways we can’t achieve alone. Many other health systems are navigating the very same challenges we must transcend. We are excited about this opportunity to work hand-in-hand with HATCo to increase investment in Summa Health and our communities and drive meaningful, transformative change that will benefit the entire healthcare industry.”
“From a nursing perspective, I‘m very excited about the potential to shape the future of nursing care through this relationship. As we look to continue to extend our work on evidenced-based practices across Summa and beyond, our shared vision with HATCo provides us with unique opportunities to enhance and grow our focus on innovative nursing models,” added Penelope Gorsuch, DNP, RN, NEA-BC-FACHE, Summa Health Senior Vice President and Chief Nursing Officer.
HATCo and Summa Health are now entering a due diligence period during which they will work together to further evaluate and define details of the proposed relationship, while carefully reviewing information from both organizations before finalizing a definitive agreement. Summa Health will continue to provide the same essential services, current and planned commitments will proceed uninterrupted, and the organization will continue to invest in Ohio employees and initiatives.
The two organizations anticipate finalizing a definitive agreement in the next several months. Following receipt of required regulatory approvals and transaction closing, Summa Health will become a wholly owned subsidiary of HATCo and continue its focus on growth and enhanced access to care.
