MultiCare plans acquisition of Oregon hospital system

Two Pacific Northwest hospitals systems are planning to come together.

The MultiCare Health System and Samaritan Health Services have announced plans to form an affiliation. The systems said in a news release that in the coming weeks, they plan to sign a “formal affiliation agreement, paving the way for Samaritan to become part of MultiCare.”

MultiCare, based in Tacoma, Washington, operates 13 hospitals and more than 300 clinics and urgent care centers. Samaritan, based in Corvallis, Oregon, operates five hospitals and more than 100 clinics. Assuming the deal is complete, Samaritan would become MultiCare’s first health system in Oregon.

The organizations said they hope to finalize the deal in the middle of 2026. Regulators must approve the transaction.

MultiCare has been expanding recently. Last year, MultiCare finalized an affiliation with the Overlake Medical Center & Clinics in Washington state. MultiCare CEO Bill Robertson said the health system is seeking “like-minded organizations to ensure Pacific Northwest communities have long-term access to local care.”

“MultiCare and Samaritan are closely aligned in our mission, vision and values, making us ideal partners as we strengthen our networks across our service regions,” Robertson said in a statement. “It will be our privilege to be a part of the communities Samaritan serves and we look forward to working together to support and advance health care in Oregon.”

As part of the affiliation, MultiCare says it will invest money in modernizing Samaritan’s facilities over the next 10 years and provide new technologies and telehealth capabilities. MultiCare has also pledged to expand primary and specialty care services.

In addition, MultiCare also is committing to expanding the Good Samaritan Regional Medical Center, including plans to add to the hospital’s inpatient capacity.

Samaritan said on its website that the system has been working to stabilize its finances. Samaritan said it looked at other partners and also explored the idea of remaining independent, but concluded the deal with MultiCare represented the best option to guarantee the system’s stability and expand healthcare services in its communities.

Marty Cahill, president and chief executive officer of Samaritan, said the planned affiliation “represents an important step in securing the future of nonprofit health care in our region.”

“Our commitment has always been to remain a community-based, mission-driven organization, and this partnership strengthens that promise for decades to come,” Cahill said in a statement. “Together, we will expand access, invest in the technology and services our communities need, and do so while keeping care nonprofit and locally governed. We are excited and honored to become MultiCare’s first health system in Oregon and to bring the benefits of MultiCare’s expertise home to the communities we serve.”

If the deal is completed, Samaritan would retain its name and logo, but MultiCare’s logo would be added to the facilities as well, the systems said.

If the planned affiliation doesn’t materialize, Samaritan said it would “remain focused on sustainability and advancing our mission of building healthier communities together.”

Hospitals across the Pacific Northwest have been facing serious financial challenges. Nearly half of Oregon’s hospitals (45%) lost money last year, and roughly a quarter (26%) barely broke even, according to a report released by the Hospital Association of Oregon. As many as 70% of Washington state’s hospitals are losing money, the Washington State Hospital Association said earlier this year.

Despite the headwinds in the Pacific Northwest, MultiCare has improved its finances in recent years. The system has a stable outlook and A+ bond rating from Fitch Ratings.

The health system has seen strong volume in its region and has been investing in a number of projects. MultiCare is in the midst of building a new freestanding Mary Bridge Children's Hospital, which is slated to open in 2026, and has been adding more outpatient facilities.

In partnership with Emerus, MultiCare is also opening a new micro hospital outside Seattle in early November.

While the first quarter of 2025 saw only a handful of hospital deals, more hospitals and health systems have been announcing plans for mergers, acquisitions and affiliations in recent months. Hospital industry analysts expect to see more deals, as systems facing financial difficulties look to find partners to ensure their long-term viability.

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