Perry Memorial Hospital, a 25-bed critical access hospital in Princeton, Ill., plans to join OSF HealthCare in Peoria, Ill.
Under an agreement adopted by the hospital boards, OSF HealthCare will become the parent organization of Perry Memorial as early as this summer.
Ownership will transfer to OSF HealthCare from the city of Princeton.
The deal would make Perry Memorial the 15th hospital in OSF HealthCare's network.
The agreement comes after Perry Memorial conducted a two-year study on how to ensure the hospital could sustain operations and residents had access to care well into the future.
"After all of our due diligence, affiliating with OSF was determined to be the best option for Princeton, the surrounding communities and all of the people who deserve quality healthcare close to home," said Linda Gustafson, chairperson of the Perry Memorial Hospital Board. "We look forward to working with OSF to meet these health care needs locally for many years to come."
The deal still needs regulatory approval.