LANCASTER, Ohio — In a major realignment of regional healthcare, Fairfield Medical Center (FMC) has abandoned its planned merger with Columbus-based giant OhioHealth and is instead exploring a strategic partnership with southern Ohio’s Adena Health.
FMC officials announced today, June 1, that they have signed a nonbinding letter of intent (LOI) with Chillicothe-based Adena Health. The surprise pivot comes immediately after federal and state regulatory hurdles effectively killed FMC’s highly anticipated acquisition by OhioHealth.
Regulatory Barriers Defeat OhioHealth Deal
The collapse of the OhioHealth deal marks a sudden shift for FMC. The two organizations had been working toward an acquisition since fall 2024, with OhioHealth formally announcing its intent to absorb the Lancaster hospital in November 2025.
In anticipation of the merger, FMC had already begun restructuring. In late February, the hospital underwent “limited staff reductions” across several departments and shut down both its sleep medicine unit and an ambulatory surgery center to align with OhioHealth’s network.
However, antitrust and healthcare regulations ultimately proved insurmountable.
“Although regulatory hurdles created obstacles to our partnership with Fairfield Medical Center, we believe that local access to healthcare is important to every community,” a spokesperson for OhioHealth said in a statement released today. “We fully support Fairfield’s decision to move forward with another partner and remain appreciative of their collaboration.”
Joining Forces with Adena Health
Under the newly signed LOI with Adena Health, FMC will shift its focus toward a collaboration aimed at preserving rural healthcare access rather than a full corporate buyout. Both systems will now enter a strict “due diligence” phase to evaluate clinical compatibility, financial health, and regional growth opportunities.
Hospital leadership emphasized that the partnership is vital to securing FMC’s financial and operational future.
“Fairfield Medical Center has proudly served this community for more than 110 years with excellence and compassion, and selecting a strong strategic partner is vital to our next 100 years,” said John “Jack” Janoso Jr., president and CEO of Fairfield Medical Center. “We believe this relationship creates an exciting opportunity to build on an already strong foundation while investing in the future of healthcare throughout Fairfield County and beyond.”
Adena Health President and CEO Kathi Edrington, DNP, echoed the sentiment, noting that the partnership aligns with Adena’s ongoing mission to expand specialized healthcare into Ohio’s more vulnerable, rural communities.
“The work of the incredible providers and clinicians at Fairfield Medical Center aligns with our mission and vision to provide expanded specialty healthcare, innovation and support to more patients who depend on us for care,” Edrington said.
What’s Next for Patients?
Hospital officials stressed that there will be no immediate disruption to patient care.
While the agreement undergoes internal review and awaits final state and federal government approvals, both Fairfield Medical Center and Adena Health will continue to operate as completely independent healthcare systems. Existing insurance acceptances, physician networks, and scheduled procedures at FMC remain entirely unaffected during the transition period.
