NorthBay Health to take ownership of Queen of the Valley Medical Center

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NorthBay Health to take ownership of Queen of the Valley Medical Center Providence said that after a monthslong discernment process, it became clear that NorthBay Health was best positioned to address the long-term healthcare needs in the Napa community. Mergers & Acquisitions By Susan Morse , Executive Editor | April 14, 2026 | 11:19 AM Photo: Courtesy of Providence Providence has announced that it has reached a definitive agreement for NorthBay Health to acquire Queen of the Valley Medical Center.Providence Queen of the Valley Medical Center is a Catholic, nonprofit acute-care hospital that has served Napa Valley and surrounding communities for more than 60 years. It is part of Providence St. Joseph Health, a national nonprofit Catholic health system.The definitive agreement transfers ownership of Queen of the Valley Medical Center, including ambulatory clinics, from Providence to NorthBay Health. No financial terms were given in the agreement.The transfer marks a milestone in transitioning Queen of the Valley to NorthBay Health since the organizations announced last month that they had entered into a letter of intent, according to Providence. With a definitive agreement in place, the organizations will move into the regulatory review phase. They have launched a website where the community can follow progress. The transaction is expected to close by the end of 2026.Providence said that after a monthslong discernment process, it became clear that NorthBay Health was best positioned to address the long-term healthcare needs in the Napa community.NorthBay Health has made commitments to invest in clinical services and community benefit programs. It will extend offers of employment with NorthBay Health employed caregivers, ensure seismic requirements are met and support the Queen of the Valley Foundation in its philanthropic investments in the community."As Providence pursues its 2030 strategic direction, we recognize that we must focus our resources where we can do the greatest good," said Laureen Driscoll, chief executive, Providence South Division. "We are confident that NorthBay Health is the right organization to build on The Queen's legacy and continue the commitment to exceptional care for the Napa community.""As a California-owned, locally governed community-based health system, we are proud to build on Queen of the Valley Medical Center's long-standing legacy of care," said Mark Behl, president and CEO of NorthBay Health. "This agreement represents an important step toward expanding access, strengthening clinical services, and ensuring more people in the region benefit from high-quality, locally connected care."NorthBay Health is a locally governed, nonprofit health care system serving Solano County and surrounding communities in Northern California. The organization includes two acute-care hospitals — NorthBay Health Medical Center in Fairfield and NorthBay VacaValley Hospital in Vacaville.Providence said last month that it is actively exploring strategic options for Providence Health Plan, including its sale. Providence CFO Greg Hoffman told caregivers the announcement reflects the challenges facing smaller, regional health plans that lack the scale of larger insurers, including the ability to share resources, spread costs and make ongoing investments in technology. Email the writer: [email protected] Topic: Accounting & Financial Management, Mergers & Acquisitions, Operations
