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U of M Health System moves to acquire Lansing's Sparrow Health

University of Michigan Hospital sign
Katie Raymond
Michigan Radio
University of Michigan Health System is based in Ann Arbor.

Lansing’s Sparrow Heath System is on its way to being acquired by the University of Michigan Health System.

Oversight boards for both health systems have approved the acquisition. The Sparrow Health System Board of Directors gave its approval on November 28. The U of M Board of Regents followed suit and signed off on the agreement at its December 8 meeting.

A Sparrow official said the agreement will enable the Lansing hospital system to expand services to mid-Michigan residents.

“The partnership with University of Michigan Health provides Sparrow the opportunity to take a greater leadership role in improving the health of the communities we serve,” said James Dover, Sparrow Health System president and CEO.

University of Michigan Health has committed to invest $800 million in Sparrow Health System’s facilities, operations, and other strategic investments over eight years, according to statements from both systems.

Paul Brown is the chairman of the University of Michigan Board of Regents. He said the agreement strengthens the U of M Health System's ability to provide quality healthcare in communities beyond southeast Michigan and expands its mission as "a statewide referral site for the most critically ill."

The acquisition is expected to be completed in the first half of 2023, though the agreement still needs regulatory approval.

Steve Carmody has been a reporter for Michigan Public since 2005. Steve previously worked at public radio and television stations in Florida, Oklahoma and Kentucky, and also has extensive experience in commercial broadcasting.