BLOOMINGTON, Minn. (KFGO) – Two of the region’s largest healthcare providers announced plans Tuesday to combine operations, prompting Minnesota Attorney General Keith Ellison to launch a formal state review into the proposed mega-merger.
The boards of directors for Bloomington-based HealthPartners and Duluth-based Essentia Health have approved a definitive affiliation agreement to merge into a single nonprofit health system across Minnesota, Wisconsin, and North Dakota.
If approved, the combined system will operate under the HealthPartners name and encompass 22 hospitals, more than 135 clinics, 6,000 clinicians, and 45,000 employees. Essentia facilities will retain their existing branding while operations are integrated over time.
HealthPartners President and CEO Andrea Walsh will lead the combined organization as chief executive officer. Dr. David Herman, who has served as CEO of Essentia Health since 2015, will serve as president of combined clinical care group operations.
“This combination is about doing more for the people and communities who count on us,” Walsh said, emphasizing a shared commitment to high-quality, local care. Herman added that the unified system will better position the organizations to innovate, grow specialty services, and strengthen workforce development programs.
Hours after the health systems announced their agreement, Ellison announced his office will scrutinize the transaction under state healthcare, charities, and antitrust laws to evaluate whether it serves the public interest. Under Minnesota law, the attorney general, in consultation with the state Department of Health, assesses how major healthcare consolidations affect patient access, care options, and affordability.
“Proposed health care consolidation requires close scrutiny,” Ellison said. “As long as I am Attorney General, I will use every tool at my disposal to both protect and improve Minnesotans’ access to high-quality, affordable healthcare.”
As part of the evaluation, the Attorney General’s Office is seeking public feedback through an online input form, dedicated phone lines, and an upcoming community forum.
HealthPartners currently serves more than 1.4 million patients and 1.6 million health plan members, while Essentia serves roughly 600,000 patients across urban and rural communities. Pending customary regulatory approvals, the merger is scheduled to take effect Jan. 1, 2027. Officials emphasized that patients and health plan members should expect no interruptions to their care or coverage during the review process.
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