US: St. Lukes ordered to undo Saltzer acquisition

Idaho based hospital operator St. Alphonsus Health System, Inc. won its antitrust lawsuit against St. Luke’s Health System Ltd. this week. St. Luke’s moved to acquire one of Idaho’s oldest and largest independent healthcare groups Saltzer Medical Group. St. Alphonsus sued saying that the combined healthcare system would account for over 60 percent of the adult primary care physicians. The Federal Trade Commission and the Idaho Attorney General launched their own investigations and later joined the lawsuit after finding that the joined healthcare system would also account for about 90 percent of the pediatric physicians.

The new London partnership includes a group of five Who’s Who Legal-listed lawyers who join from Edwards Wildman. 

The suit had a difficult start as a judge refused preliminarily enjoin the acquisition and required a trial, during which St. Luke’s completed its acquisition of Saltzer. In January last year a bench judge ruled in St. Alphonsus’ favor and ordered St. Luke’s to divest itself of Saltzer. St. Luke’s appealed the ruling, but the court again ruled in favor of the plaintiffs.

Full Content: The National Law Review

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