Mergers, affiliations and long-standing clinical partnerships have become increasingly fragile amid evolving financial pressures, shifting strategic priorities and growing regulatory scrutiny. Over the past four years, several high-profile hospital deals have been terminated — some before agreements were finalized, others after decades of collaboration.
Here are 16 hospital partnerships and proposed deals that were called off or unwound so far this year:
1. Newark, Del.-based ChristianaCare and Marlton, N.J.-based Virtua Health mutually agreed in December to end talks about a possible merger. In July ChristianaCare and Virtua signed a letter of intent to form a regional nonprofit system, which would have spanned 10 counties across Delaware, Maryland, New Jersey and Pennsylvania, and generated more than $6 billion in annual revenue. The systems said in a joint announcement that “after thoughtful evaluation, both organizations have determined that they can best fulfill their missions to serve their communities by continuing to operate independently.”
2. Bethlehem, Pa.-based St. Luke’s University Health Network is ending its joint venture with Danville, Pa.-based Geisinger and will assume full ownership of their jointly owned hospital. The health systems partnered in 2019 to create Geisinger St. Luke’s Hospital in Orwigsburg, Pa. St. Luke’s plans to buy Geisinger’s interest in the joint venture. The transition is expected to take effect in 2026, pending regulatory approval, according to the Republican Herald.
3. Morristown, N.J.,-based Atlantic Health and New Brunswick, N.J.-based Saint Peter’s Healthcare System decided not to proceed with their planned member substitution transaction. The health systems signed a definitive agreement in June that would have brought Saint Peter’s into Atlantic Health’s care network as its single corporate member, but mutually decided to halt their plans after lengthy discussions and an analysis of the changing national healthcare landscape.
4. Livonia, Trinity-based Trinity Health sold its 49% ownership stake in a joint venture with Emory Healthcare for St. Joseph’s Health System, which includes St. Joseph’s Hospital of Atlanta and John’s Creek Hospital. Trinity will receive about $300 million from the sale.
5. Freeport, Ill.-based FHN has withdrawn from a joint plan with Beloit (Wis.) Health System to build a 10-bed microhospital in Roscoe, Ill., citing financial challenges and anticipated reimbursement cuts stemming from the One Big Beautiful Bill Act. The two health systems submitted their proposal for the hospital in July.
6. Davenport, Iowa-based ORA Orthopedics will end its partnership with MercyOne at the end of 2025, citing a shift in values following Genesis Health System’s transition into MercyOne. Effective Dec. 18, ORA will no longer provide orthopedic emergency or trauma coverage at MercyOne Genesis East Hospital in Davenport or MercyOne Genesis Illini Hospital in Silvis, Ill. Livonia, Mich.-based Trinity Health acquired MercyOne Health System in 2022 and rebranded Genesis Health System as MercyOne Genesis last year.
7. Cincinnati-based Bon Secours Mercy Health and Valhalla, N.Y.-based Westchester Medical Center Health Network have agreed to dissolve their joint venture involving Bon Secours Charity Health System. WMCHealth will assume full ownership and operational control of three Bon Secours Mercy Health hospitals in its western region: Good Samaritan Hospital in Suffern, N.Y.; Bon Secours Community Hospital in Port Jervis, N.Y.; and St. Anthony Community Hospital in Warwick, N.Y. Once the transition is complete, the hospitals will no longer operate as Catholic facilities.
8. Insight Health System has stepped away from negotiations on a proposed lease-to-purchase agreement with Hollister, Calif.-based Hazel Hawkins Memorial Hospital. The Flint, Mich.-based system cited uncertainty around the recently signed One Big Beautiful Bill Act. The San Benito Health Care District said it will now “concentrate on strengthening its financial position while developing new strategies to ensure its long-term viability.”
9. Brentwood, Tenn.-based Quorum Health withdrew from a proposed deal to operate the financially struggling Bay Area Hospital in Coos Bay, Ore. The organizations announced Aug. 8 that Quroum terminated its nonbinding letter of intent and concluded the due diligence process with the hospital.
10. Rolla, Mo.-based Phelps Health and Salem (Mo.) Memorial Hospital District have ended discussions about a potential affiliation after a year of exploratory talks. Salem Memorial Hospital, which has seen recent improvements in its operating margins, plans to remain independent for the time being.
11. Jacksonville, Fla.-based Baptist Health is terminating its long-standing pediatric services partnership with Gainesville, Fla.-based UF Health, marking the end of decades of clinical collaboration. In the first quarter of 2026, Nemours Children’s Health — also headquartered in Jacksonville — will take over pediatric care at Baptist’s Wolfson Children’s Hospital. UF Health told the Jacksonville Business Journal it was “surprised and disheartened” to learn that Baptist had “unilaterally decided to end its decades-long clinical collaboration.”
12. In May, Gaithersburg, Md.-based Adventist HealthCare has abandoned its pursuit of acquiring Howard University Hospital, a 482-bed academic hospital in Washington, D.C. Adventist has managed the hospital since 2020 and plans to end its management services agreement by February 2026.
13. Valley Medical Center, a 321-bed acute care facility in Renton, Wash., will end its strategic affiliation with Seattle-based UW Medicine on Dec. 31, 2026. The two organizations partnered in 2011, but Valley Medical’s board voted unanimously to dissolve the relationship, citing shifting needs and the evolving healthcare landscape. The hospital said it is exploring other partnerships.
14. Corvallis, Ore.-based Samaritan Health Services and Stayton, Ore.-based Santiam Hospital and Clinics walk away from their proposed merger in May. Santiam had previously cited financial pressures as a motivator for the deal. The termination came without a detailed public explanation, though both parties indicated that the decision was mutual.
15. Portland-based Oregon Health & Science University and Legacy Health scrapped their merger plans just months after signing a definitive agreement. The two organizations said they had concluded the best path forward was to remain independent, citing a rapidly evolving operating environment. The proposed merger would have created one of the largest health systems in Oregon, with 12 hospitals and more than 32,000 employees.
16. Minneapolis-based Fairview Health Services in February declined a proposed $1 billion merger between Duluth, Minn.-based Essentia Health and Minneapolis-based University of Minnesota. Fairview cited a lack of demonstrable improvements for its employees and patients. While open to future partnerships, Fairview leaders said the proposed deal did not offer enough value. The decision leaves the future of Fairview’s relationship with the University of Minnesota — set to end in 2026 — up in the air.
