Senior-level healthcare industry stakeholders believe that consolidation in the payer space is likely to continue over the next ten years—and not to the benefit of consumers.
Tag Archives: M&A
Hospitals claim the ACA demands mergers: Are judges warming up to the argument?
Judges have largely dismissed the argument that hospitals need to merge to meet the demands of the Affordable Care Act, but a Pennsylvania judge recently accepted the “Obamacare-made-me-do-it” defense, according to the National Law Review. In defense to an antitrust challenge by the FTC, plenty of hospitals have argued mergers are necessary to meet ACA goals, such as moving away from the fee-for-service model and providing high quality care more efficiently.
Hedge fund’s healthcare retreat signals industry uncertainty
NYC hedge fund Glenview Capital Management, headed by Larry Robbins, has pulled back sharply on its healthcare investments despite its usual emphasis on the industry, Modern Healthcare reported. The hedge fund overall reduced its shares in 11 of 16 healthcare companies during the first quarter, including Aetna, Anthem, Cigna and Humana, which await uncertain state and federal regulatory approval for mergers.
FTC Chair Makes Clear Hospital Consolidation Hurdles
Exterior of the Federal Trade Commission (FTC) in Washington, D.C.
Hospital and health system mergers and acquisitions have grown by 70% since 2010. That means “vigorous enforcement of the antitrust laws is more important than ever,” says the chair of the Federal Trade Commission.
Cartoon – M&A Today
“As you know we’ve made a lot of acquisitions lately, and the last one we made seems to have resulted in us buying ourselves.”
Merge ahead: Healthcare deals adapting as industry evolves
http://www.healthcaredive.com/news/merge-ahead-healthcare-deals-adapting-as-industry-evolves/418868/
There’s little doubt healthcare consolidation will continue as demand increases and the population ages. However, it remains to be seen whether the potential cost savings trickles down to consumers.
This health-care trend could make your hospital stay $2,000 more expensive
Federal Trade Commission chairwoman Edith Ramirez is concerned that consolidation in health care is driving up prices for consumers.
Pennsylvania court sides with hospitals in merger ruling
HENRY KOTULA 