Moody’s affirmed Oklahoma City-based Integris Health’s “A3” credit rating and raised its outlook to positive from negative, citing its Oct. 21 definitive agreement to join Oakland, Calif.-based Kaiser Permanente’s Risant Health.
Integris’ planned combination with Risant is a “significant credit positive” development that will strengthen its ability to provide value-based care, Moody’s said in its Oct. 27 report. The credit rating agency added that the planned combination will also provide the system with access to greater capital and strategic resources.
Kaiser launched Risant in April 2023 as a nonprofit designed to expand value-based care in markets with multiple payers and providers. Currently, Danville, Pa.-based Geisinger and Greensboro, N.C.-based Cone Health are Risant Health members. Under the model, member systems retain their names, brands, boards and leadership teams.
Moody’s said the benefits of joining Risant are balanced by Integris’ “modest liquidity following significant strategic capital investment, elevated leverage, and material exposure to evolving government reimbursement policies.”
Integris is Oklahoma’s largest nonprofit health system, with 13,000 employees and 20 hospitals — 10 acute care and 10 specialty — along with the state’s largest physician network. Moody’s said the system’s A3 rating reflects its leading competitive position in the Oklahoma City market, broad statewide clinical footprint, strong revenue and volume growth and improving operating performance.
The system’s agreement to join Risant is pending regulatory approval.
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