State investigation into UnitedHealth Group-Amedisys deal pushes again timeline

State investigation into UnitedHealth Group-Amedisys deal pushes again timeline

UnitedHealth Group’s (NYSE:UNH) acquisition of Amedisys (Nasdaq:AMED) remains to be pending. That could possibly be because of a variety of components, however one is obvious: the continued Oregon Well being Authority (OHA) assessment, which is anticipated to final till at the very least late November.

OHA’s Well being Care Market Oversight (HCMO) program displays well being care enterprise offers to make sure they don’t hurt the state’s residents or communities. In July, each UnitedHealth Group and Amedisys filed responses to OHA’s request for info. The company remains to be looking for public touch upon the matter.

Along with the Oregon subject, the deal can be below investigation by federal antitrust regulators, together with the U.S. Division of Justice (DOJ).

Amedisys and UnitedHealth agreed to promote sure areas to Dallas-based VitalCaring Group, prone to deal with these antitrust issues. That deal, nevertheless, is contingent on the UnitedHealth Group-Amedisys deal closing.

“From an antitrust perspective, a variety of states have adopted extra stringent transaction notification necessities,” Les Levinson, accomplice and co-chair of the Transactional Well being Legislation Group at Robinson+Cole, stated throughout a current House Well being Care Information webinar. “There’s been an elevated curiosity in companies being topic to extra stringent regulatory scrutiny. I feel we have to take note of that.”

UnitedHealth Group first agreed in June 2023 to amass Amedisys, one of many nation's largest residence well being suppliers, for $3.3 billion.

In accordance with feedback on the OHA web site, the deal shouldn’t be being nicely obtained by some teams in Oregon.

For instance, Mid Valley Well being Care Advocates, based mostly in Corvallis, Oregon, urged the OHA to disclaim the takeover utility.

“We’re involved that [UnitedHealth] “As an insurer, and thru Optum as a scientific supplier and probably as a house well being and hospice supplier, we’ve got the inducement and skill to unfairly drawback competing suppliers and drive them out of the market, thereby limiting client alternative,” the group stated in a press release.

One other remark from the Oregon Nurses Affiliation (ONA) acknowledged: “[UnitedHealth’s] monitor file of inflating revenue margins on the expense of sufferers is inconsistent with Oregon's values. Oregonians deserve high-quality, inexpensive well being care; we’re involved that [UnitedHealth] is not going to present that care if it would impede their profitability. ONA urges OHA to reject the acquisition of Amedisys.”

That stated, it’s doable that Justice Division approval of the deal may in the end affect the OHA's choice and transfer up the timeline for completion.

Leave a Reply

Your email address will not be published. Required fields are marked *