Kaiser Permanente announced plans for its Kaiser Foundation Hospitals (Oakland, Calif.) to acquire health system Geisinger Health (Danville, Pa.) to launch Risant Health.

Kaiser Foundation Hospitals is one of three groups operating under Kaiser Permanente. The new nonprofit organization will be focused on value-based care and coverage.

The definitive agreement makes Geisinger the first health system to join Risant Health, expanding access to value-based care in more communities across the country. Upon regulatory approval, Geisinger becomes part of the new organization through acquisition, a press release states.

Kaiser Permanente announced that Dr. Jaewon Ryu, Geisinger’s president and chief executive officer, will serve as Risant’s chief executive when the deal is closed. The new organization will be headquartered near Washington, D.C.

Geisinger will retain its name when folded into the new nonprofit organization.

Meanwhile, Risant Health will operate separately and distinctly from Kaiser Permanente’s core integrated care and coverage model but will build upon its value-based care approach. As the first health system to become part of Risant Health, Geisinger will participate in developing the organization’s strategy and operational model.

Other health systems that become part of Risant Health will also continue to operate as regional or community-based organizations to serve the needs of their communities, the release states.

They will have access to expertise, resources, and support through Risant Health’s value-based platform, including care model design, pharmacy, consumer digital engagement, health plan product development, and purchasing.

The definitive agreement between Risant Health and Geisinger Health is subject to state and federal regulatory review.