Endeavor Health, a nine-hospital system, plans to merge with Rush University System for Health, creating a combined nonprofit organization with 12 hospitals and over 400 care sites. The new system will operate under the Rush name and have more than 46,000 employees and clinicians serving over 2 million patients annually.
Gerald “J.P.” Gallagher, president and CEO of Endeavor Health, stated that the merger will create a stronger, more connected health system, setting a new standard for care delivery and experience across communities. Patients and communities will benefit from improved access, advanced research, and high-quality care close to home.
The transaction is expected to close in early 2027, following regulatory review and approval. Upon approval, Gallagher will be named president and CEO of the unified system, while Omar Lateef, D.O., president and CEO of Rush, will continue in his role until the close of the transaction and then serve as CEO emeritus and strategic advisor.
A 20-person system board will be appointed, with equal representation from Rush and Endeavor Health board members, led by a chair from the Rush system. Lateef noted that the unified system will expand upon Rush’s work on the West Side of Chicago, strengthening its impact in communities across the region to ensure more patients benefit from expertise, innovation, and compassion.
Endeavor Health will invest an additional $1 billion to advance community impact, academics, and research, and quality and care innovation in communities across the region. A significant portion of the investment will be dedicated to community partnerships addressing social determinants of health and creating a sustainable infrastructure to support the underserved.
The merger is part of a larger trend of consolidation in the Chicagoland healthcare market, with Endeavor Health having been formed through a merger between NorthShore University HealthSystem and Edward-Elmhurst Health in January 2022. This consolidation is likely driven by the need for healthcare systems to adapt to changing market conditions, including pressure from Medicaid cuts. They are responding to these pressures by forming larger, more integrated systems.
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