Borgstrom says discussions had been ongoing with Vanguard Health System about a possible collaboration before Tenet's $4.3 billion acquisition of Vanguard last year. The talks continued with Tenet.
"Opportunities like this are organic and they grow out of relationships and fundamentally there were some hospitals that were looking for an opportunity to become part of a system that we felt we couldn't meet through the Yale New Haven Health System. So, they began to talk to Vanguard [and] now Tenet," Borgstrom said.
"We have had relationships with these organizations and when they began talking with the leadership in Vanguard who we have also known for a long time they also talked with us and said 'this is in your neck of the woods. Is there an opportunity for us to do something together?' We said 'let's explore it' and that is how it evolved."
Yale and Tenet said in a joint media release on Thursday that the collaboration would "create a comprehensive healthcare delivery network in Connecticut, with the intention to expand into the greater Northeast region."
"Using the strengths of each organization, the partnership will enhance the efficiency and coordination of healthcare in the region by offering comprehensive clinical services to a larger geography," the two systems said. "Additional plans include creating a clinically integrated delivery platform with local physician groups and entering into value-based contractual relationships with employers and other payers of healthcare services."