Merger isn’t the result of failing financials, but of leveraging scale in an incredibly complex system, according to health systems.
RWJBarnabas Health is acquiring one of the last remaining independent hospitals in New Jersey, Englewood Health.
The health systems said they have signed a definitive agreement for Englewood to become a part of RWJBarnabas Health.
This will impact healthcare services for residents in Bergen, Hudson and Passaic counties and the surrounding communities.
Completion of the transaction awaits approval from state and federal entities.
WHY THIS MATTERS
Englewood officials have said this isn’t a rescue mission, according to NJ.com.
“This business has become incredibly complex and being able to combine balance sheets, leverage scale for purchasing and technology purposes, to spread the cost of those things around a broader base is just part of becoming more efficient,” RWJBarnabas President and CEO Mark Manigan said in an interview with NJ Advance Media.
In 2024, Englewood posted total revenue of $1.19 billion and operating expenses of $1.16 billion.
Englewood Health’s position as the provider of healthcare services for the Bergen County community will be strengthened and enhanced by the merger, RWJBarnabas Health said.
The larger health system is expected to make capital investments in Englewood that will expand its network of outpatient services and community health programs.
For example, Englewood patients will have access to care offered through the Rutgers Cancer Institute, a state-designated National Cancer Institute Comprehensive Cancer Center.
In June 2025, RWJBarnabas Health and Rutgers Cancer Institute opened the doors of the 12-story, 520,000-square-foot Jack & Sheryl Morris Cancer Center, a freestanding cancer hospital and reportedly just one of 13 in the nation.
THE LARGER TREND
RWJBarnabas Health will become a 15-hospital system with the addition of Englewood, which has one hospital and offers care at more than 100 locations, including physician practices, urgent care centers and imaging centers.
In 2019, Hackensack Meridian Health and Englewood Health announced plans for a proposed merger. Hackensack said it would invest over $400 million in Englewood Health to make it a tertiary academic hub for the region.
After pushback from the Federal Trade Commission, the health systems dropped their plan.
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