Sutter Health's strategy to expand its network across California will take a step forward Monday when its acquisition of outpatient care organization Sansum Clinic takes effect.
Sacramento, California-based Sutter said Friday it will integrate Sansum, headquartered in Santa Barbara, California, into its network over the next few years and make significant investments that include clinic renovations and new equipment. Additions include three new operating rooms at Sansum's Foothill Surgery Center in Santa Barbara.
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Nonprofit Sutter, which serves more than 3 million patients in 22 counties, said the partnership will better position it to attract primary care and specialty physicians to the Central Coast region.
Financial details of the transaction, announced in May, were not disclosed.
Sutter is plotting an expansion across Northern California that would add more than two dozen ambulatory care centers in the next four years, plus dozens of primary and multispecialty care sites. In June, it issued $750 million in bonds to fund the expansion and investments in improved digital capabilities.
Sutter reported net income of $265 million in its second quarter, an improvement from the $457 million loss a year ago. In the first half of 2023, it reported net income of $463 million, compared with a $641 million loss in the year-ago period.
"We have a growing Medicare population, an increasing shift to ambulatory care, and high consumer expectations around digital tools and technology," Sutter President and CEO Warner Thomas said in a news release. " By integrating our learnings and best practices, we can better address these headwinds and grow, expand access and invest in the future of healthcare in California."
