Health Assurance Transformation LLC (HATCo), a General Catalyst company, has agreed to acquire Ohio-based Summa Health for $485 million. This acquisition, combined with Summa Health’s current cash reserves, will allow the health system to eliminate $850 million in debt. The remaining funds will create a new community foundation focused on improving health in the Greater Akron area.

This acquisition marks a major investment in Summa Health, aimed at creating a more proactive, affordable, and equitable healthcare system. HATCo has committed $350 million over the first five years to support operations and technological growth, and an additional $200 million over the next seven years for strategic initiatives, innovation, and transformation projects.

Despite transitioning to a for-profit structure, Summa Health will continue its community benefit programs, charity care policies, and essential services, with a focus on sustainable growth and improving regional access to care. The health system's employees, providers, and leadership will remain with the new entity, with workforce development being a key priority.

Summa Health and HATCo are collaborating on a comprehensive plan with two phases: stabilization, which involves optimizing processes and improving patient, provider, and staff experiences, and transformation, which focuses on long-term innovation and technology investments. The acquisition is pending regulatory approvals from bodies including the Ohio Attorney General, the Ohio Department of Insurance, and the Federal Trade Commission.

George Strickler, Chair of Summa Health’s Board of Directors, expressed confidence in the acquisition, noting that the agreement strengthens Summa’s position to adapt to challenges, transform the health system, and create a sustainable future for the region.

Click here to read the original news story.