Butler, Excela health systems announce merger

PITTSBURGH (KDKA) - Butler Health System and Excela Health are merging into a new health system. 

The two organizations signed a letter of intent to merge into one health system that will employ about 7,300 people and serve a population of 750,000 people with over 1,000 physicians and practitioners, officials announced Wednesday. 

"We believe strongly that our new partnership will extend our intellectual and financial capital. In doing so, we can enhance access to care, decrease the cost of care and continue to focus on providing improved experiences and outcomes for patients," Excela CEO John Sphon said. 

This combination will support five hospitals, including Butler, Clarion, Frick, Latrobe and Westmoreland hospitals. It's expected to generate over $1 billion in revenue. 

"The new System will provide additional services and better access to those services," said Ken DeFurio, Butler Health System president and CEO. "We are pleased that this partnership amplifies our ability to provide tertiary care, yet remain physician led and community focused."

More specific details like leadership and a new system name will be determined later. Remaining discussions, required regulatory approval and final board approvals could take through the end of 2022, the health systems say.