Orange, NJ-based Barnabas Health and Robert Wood Johnson Health System announced a definitive agreement to merge, creating the largest health system in New Jersey. The new system will be called RWJ Barnabas Health, the companies said in a joint statement, and will include 11 acute care hospitals, 3 children’s hospitals, a pediatric rehabilitation center, a behavioral health center and other ambulatory care centers and five fitness and wellness centers.

Combined revenues for the two systems are about $4.5 billion. RWJ Barnabas Health will include 9,000 physicians and 30,000 employees. The two systems will combine their existing accountable care organizations, according to Modern Healthcare.

"The new health system will comprise effectively every clinical service from primary to quaternary and greatly strengthen our commitment to medical education and research," said Barry H. Ostrowsky, president and CEO of Barnabas Health. "The merger also will provide a large enough geography to be appropriate for the migration to population health management.” 

Ostrowsky will be president and CEO of RWJ Barnabas Health. The companies said the agreement will be submitted to the New Jersey attorney general for approval. If approved, the merger is expected to be completed in 2016.

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