Mergers & Acquisitions
Evidence shows that cross-market hospital systems raise prices by exerting power across markets when negotiating with insurers.
The deal is being made with investments from Walgreens Boots Alliance and Evernorth, the health services subsidiary of Cigna.
Highly concentrated markets and consolidation have hurt both patients and medical professionals, the AMA said.
CVS Health says it anticipates the transaction closing in the first half of 2023.
Humana, which has also reportedly shown interest, has the right of first refusal in a sale.
Less competition and more vertical integration can embolden anti-competitive business practices to the detriment of patients, says AMA president.
The figures are consistent with the trend of falling below prepandemic deal numbers, though two 'mega' transactions occurred.
WBA says the move expands its reach into the growing home care sector and advances its long-term growth strategy.
bswift will continue to partner with CVS Health and Aetna, a CVS Health company, to provide benefits technology to its employees.
The combined companies will connect and simplify core clinical, administrative and payment processes, Optum says.