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Inova Health Ends Merger Attempt Due To FTC Challenge |
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Written by Rob Kurtz
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Monday, 09 June 2008 |
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Northern Virginia’s largest hospital system has announced
that it is abandoning its efforts to merge with Prince William Health System in
Manassas, Vir.
following a legal challenge from the Federal Trade Commission to block the
merger.
Inova Health System expected the proposed merger with Prince
William “would have resulted in more than $200 million in much-needed and
immediate investment by Inova in the Prince William Health System,” according
to a press release from Inova Health.
The FTC filed its complaint to block the merger back
in May, as reported on www.BeckersASC.com.
The FTC and was then joined by the Commonwealth
of Virginia, through the
Office of the Attorney General.
The FTC expressed concerns that the merger would reduce competition, lead to an
increase in prices and would violate antitrust laws.
Inova decided to end its merger efforts because the FTC
challenge “threatened to prolong completion of the merger by as much as two
years, which both health systems believe is not in the best interest of the
communities they serve,” according to the press release.
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