Business & Tech

Henry Ford, Beaumont Merger Called Off Due to 'Two Very Different Perspectives'

Henry Ford board members voted against the multi-billion-dollar deal Tuesday afternoon.

The Beaumont and Henry Ford health systems merger has been called off after "different perspectives" emerged about the $6.4-billion deal.

Henry Ford board of trustees' decision Tuesday followed six months of due diligence discussions involving hundreds of Beaumont and Henry Ford team members, according to Beaumont.

“We have benefited greatly from our merger discussions and have great respect for our colleagues at Henry Ford,” said Gene Michalski, president and CEO, Beaumont Health System. “However, we found through our discussions that we are not aligned on how to achieve our vision for a model health system due to differences in our structures and business models.”

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In a letter to employees, Henry Ford CEO Nancy Schlichting wrote the decision was made “because it became apparent that two very different perspectives" emerged for the health systems' new organization, according to the Detroit Free Press.

“Many of the foundational elements in the Letter of Intent, including preserving two academic medical centers in Detroit and Royal Oak, were no longer supposed by some leaders at Beaumont," the letter stated.

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