Olympia Fields will become the ninth hospital in Illinois, reflecting Prime’s commitment to continuing a legacy of service, preserving access and advancing clinical excellence

Prime Healthcare today announced it has entered into an asset purchase agreement with Franciscan Alliance to acquire Franciscan Health Olympia Fields, further expanding Prime’s mission-driven presence in Chicagoland and reinforcing its commitment to preserving access to high-quality, compassionate care in communities that need it most.

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The proposed transaction would add the 214-bed Franciscan Health Olympia Fields and Specialty Physicians of Illinois, LLC to Prime Healthcare’s award-winning national system, which is recognized for clinical excellence, health equity, and social responsibility. Franciscan Health Olympia Fields has served the South Suburbs for more than two decades and is Franciscan Alliance’s only hospital in Illinois.

“Franciscan Health Olympia Fields has a legacy of service, and we believe Prime Healthcare is uniquely positioned to carry that mission forward,” said Frank J. McHugh, Interim President and CEO of Franciscan Health Olympia Fields. “Prime’s proven ability to strengthen hospitals while honoring values-based care gives us hope and confidence in the future of access and quality for the South Suburbs.”

Prime Healthcare is a physician-founded and physician-led national health system with 51 hospitals and a proven record of saving and improving struggling hospitals and uplifting communities. Prime is nationally recognized for award-winning quality care and has been named a 10 Top Health System by Truven Health Analytics and its hospitals have been named among the nation’s 100 Top Hospitals more than 70 times. Prime believes in ensuring access to care for everyone, especially those in greatest need and recognized for its commitment to social responsibility. Since 2010, Prime has provided more than $16 billion in community benefit and charity care, preserving essential healthcare services for more than 600 communities nationwide.

“Our agreement with Franciscan Alliance reflects Prime Healthcare’s enduring mission to save, strengthen and invest in community hospitals while honoring Franciscan’s deep commitment to serving the poor and vulnerable,” said Sunny Bhatia, MD, President and Chief Medical Officer of Prime Healthcare. “We are grateful for the trust Franciscan has placed in us and are committed to stewarding this hospital with compassion, integrity, and a commitment to clinical excellence and compassionate care for all.”

Franciscan Alliance selected Prime Healthcare following a comprehensive review process that included due diligence and careful evaluation of mission alignment, ethical commitment, and long-term sustainability. Prime’s experience operating Catholic hospitals in Illinois, along with its demonstrated commitment to quality, community service, and ethical care delivery, were central to Franciscan’s decision.

“Prime is committed to goals that align with our values and are the best to carry on our legacy,” McHugh said.

As part of the proposed transaction, Prime Healthcare has committed to a series of mission-driven investments designed to strengthen long-term access to care and advance medical education. These commitments include a $5 million philanthropic contribution to support Franciscan’s expansion of medical education, aligned with Prime’s national investment in physician training through its medical school and residency programs across the country.

Consistent with Prime’s long-standing practice, the system will offer employment to substantially all employees and will continue charity care and community benefit programs, fulfilling its mission of “saving hospitals, saving jobs, and saving lives.” In 2025, Prime was named one of America’s Greatest Workplaces by Newsweek.

Prime Healthcare is a national health system with 51 hospitals in 14 states, more than 60,000 staff and affiliated physicians delivering high-quality, patient-centered care. This transaction further expands Prime’s presence in Illinois. In early 2025, Prime completed the acquisition of eight former Ascension Illinois facilities and has since invested over $104 million in upgrades in the facilities, including new equipment, technology and systems while preserving the legacy of compassionate, spiritually-centered care at those facilities. Through strategic capital investment, clinical excellence, collaborative partnerships, and sustained community outreach, Prime is delivering on its promise to revitalize hospitals, strengthen workforces, and enhance care for those that depend on them. Prime’s Illinois portfolio now serves as a model for mission-driven turnarounds and sustainability that strengthens communities.

Prime Healthcare is nationally recognized for award-winning quality care and patient safety, receiving more Patient Safety Excellence Awards from Healthgrades than any other health system over the past decade, and earning hundreds of honors from organizations including Premier, The Leapfrog Group, and the Lown Institute, which named Prime a Top 10 Health System for health equity and social responsibility. In 2018 Prime Healthcare’s affiliated non-profit Prime Healthcare Foundation established the California University of Science and Medicine, one of the nation’s newest medical schools with a mission to educate the next generation of physicians and encourage them to practice in underserved areas.

The proposed transaction is subject to review and approval by the Illinois Health Facilities and Services Review Board, as well as other customary regulatory approvals. Until closing, Prime Healthcare and Franciscan Health Olympia Fields will continue to operate independently.

About Prime Healthcare: Prime Healthcare is an award-winning health system operating 51 hospitals and more than 360 outpatient locations in 14 states, providing over 2.7 million patient visits annually. It is one of the nation’s leading health systems, with more than 60,000 employees and physicians. Eighteen of the Prime Healthcare hospitals are members of the Prime Healthcare Foundation, a 501(c)(3) not-for-profit public charity. Based in Ontario, California, Prime Healthcare is nationally recognized for award-winning quality care and has been named a 10 Top and 15 Top Health System by Truven Health Analytics. Its hospitals have been named among the nation’s “100 Top Hospitals” 72 times and is one of Healthgrades most awarded health systems in the nation for patient safety. To learn more, please visit primehealthcare.com.

About Franciscan Alliance: The Franciscan Alliance healthcare ministry began in Lafayette, Ind. in 1875. Today, Franciscan Alliance is one of the largest Catholic health care systems in the Midwest with 12 hospital campuses, more than 19,000 employees and a number of nationally recognized Centers of Health Care Excellence. Hospitals include Franciscan Health Carmel; Franciscan Health Crawfordsville; Franciscan Health Crown Point; Franciscan Health Dyer; Franciscan Health Indianapolis; Franciscan Health Lafayette; Franciscan Health Michigan City; Franciscan Health Mooresville; Franciscan Health Munster; Franciscan Health Olympia Fields (Ill.), Franciscan Health Orthopedic Hospital (Carmel) and Franciscan Health Rensselaer.

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Prime Healthcare expands its mission in Illinois with Franciscan Health Olympia Fields, preserving access, advancing clinical excellence, and serving the South Suburbs.