In an email Thursday to staff, CEO Dr. Bobbi Daniels said the physician organization for the university's hospital and medical school will “begin a robust strategic planning process that builds on our successes and positions us for the future.”
The University of Minnesota Physicians and Fairview were just two healthcare organizations among the droves looking to consolidate under increased pressure to deliver high quality patient care in a more efficient and less expensive manner.
A spokesman for the University of Minnesota Physicians said it's “too early for details,” but the strategic planning process means it likely will seek new partners. In her email, Daniels said “over the past few weeks, many organizations — including health systems, payers, and physician groups — have sought us out regarding potential relationships.”
She added that “we continue to believe our last proposal, offered to Fairview on June 8, was fair and would have benefited all parties, including our patients and the state.”
Fairview will continue to operate University of Minnesota facilities including the flagship University of Minnesota Medical Center.
A request for comment from Fairview was not immediately successful Friday afternoon. Daniels said “Fairview has communicated it will not have further discussions on the proposal.”
Daniels also cleared other rumors regarding the latest proposal to Fairview in her email. She said the university didn't try to “takeover” Fairview's management or that the board of the University of Minnesota Physicians attempted to remain separate from the proposed merger. The organization is currently independent.
University of Minnesota Physicians employs more than 900 physicians and 1,600 health professionals and staff. In 2015, the organization contributed about $86 million to the University of Minnesota Medical School.
An earlier version of this story incorrectly referred to the deal between Fairview and the University of Minnesota Physicians as an acquisition.