Sanford Health, a renowned nonprofit healthcare system, further strengthens its roots in South Dakota by acquiring Prairie Lakes Healthcare System. Based in Watertown, South Dakota, Prairie Lakes comprises an 81-bed hospital, clinics, and outpatient facilities extending into western Minnesota.
The acquisition’s completion marks another milestone for Sanford Health, headquartered in Sioux Falls, South Dakota. Known as the largest rural healthcare system in the United States, Sanford already operates 57 hospitals and nearly 200 clinics across the Midwest.
This strategic move aligns with Sanford Health’s vision to provide high-quality healthcare in rural communities. With $11 billion in revenue, Sanford Health focuses on broadening its service offerings, especially in its home state of South Dakota.
- Sanford Health’s dedication to the South Dakota community is evident, reflecting its mission to enhance healthcare accessibility in rural areas.
- The partnership with Prairie Lakes further entrenches Sanford’s influence as a leading healthcare provider in the Northern Plains.
- John Allen, the president and CEO of Prairie Lakes Healthcare System, will retain his leadership role, underscoring a commitment to regional continuity and service excellence.

John Allen
South Dakota, characterized by its vast landscapes and close-knit communities, positions healthcare as a crucial pillar supporting its residents’ quality of life. Sanford Health’s acquisitions emphasize its role in shaping the future of rural healthcare.
With Prairie Lakes serving approximately 90,000 residents across a 10-county area, the acquisition ensures these communities will benefit from enhanced medical services, supported by Sanford’s vast resources. This integration will allow for continued patient-provider relationships without interruption, a dedication to community-centered care at its core.
Andy Munce, president and CEO of Sanford Health’s Sioux Falls region, expressed his commitment to the region: “As mission-driven nonprofit healthcare systems, Sanford Health and Prairie Lakes Healthcare System are dedicated to caring for the communities we serve.” He continued, “Our partnership will ensure patients and community members continue to have access to world-class services and providers for generations.”

Andy Munce
Chris Carter, chairman of the Prairie Lakes Healthcare System Board of Directors, also expressed optimism for the future: “We gain resources and capabilities to do even more to support the communities we serve going forward,” Carter noted in a release.
This acquisition comes after Sanford Health’s earlier expansion with the Marshfield Clinic Health System. As Sanford Health continues its growth trajectory, the focus remains on maintaining service quality and accessibility.
Moreover, Sanford Health is looking to acquire Lewis Drug, a family-owned pharmacy chain operating 60 stores across South Dakota, Iowa, and Minnesota. The acquisition, expected to conclude in the fall, will further integrate regional healthcare services, offering a comprehensive approach to patient care.
South Dakota stands at the heart of Sanford Health’s ambitions, with continuous investments paving the way for a healthier future. As more rural hospitals struggle nationwide, Sanford’s model provides a hopeful blueprint for sustainable healthcare across America’s heartland.
Bill Gassen, Sanford Health’s president and CEO, highlighted the importance of strategic partnerships: “I’m certain that Sanford Health will continue to grow with other strategic, like-minded partners,” Gassen emphasized.
This acquisition not only reinforces Sanford Health’s commitment to improvement in South Dakota but also positions the state as a leader in rural healthcare transformation. With strategic collaborations and deliberate expansions, Sanford Health demonstrates a steadfast commitment to serving the people of South Dakota and beyond.

Chris Carter
Finally, it’s crucial for stakeholders, patients, and the broader community to understand Sanford’s intentions and vision clearly. This ensures trust and promotes a cooperative environment where healthcare excellence can flourish, benefitting all South Dakota residents.