A PYMNTS Company

US: Detroit hospital merger scrapped

 |  May 22, 2013

Two health care giants in Detroit, Michigan, whose plans to merger would have lead to a servicing of about 40 percent of the area’s patient population, have decided to scrap ideas to join forces, blaming a lack of similarities in visions for the future. Henry Ford and Beaumont, tow of the area’s largest healthcare systems, were planning on merging to create a system of 10 hospitals worth $6.4 billion. The move was to be part of an ongoing trend throughout the nation of consolidation as hospitals meet financial struggle under the new federal Affordable Care Act. Henry Ford described the failed merger as due to “two very different perspectives” between the two organizations.

Full Content: Detroit News

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.