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Brown University, Prospect Medical to make rival bid for Care New England

Brown University is joining with Los Angeles-based Prospect Medical Holdings to challenge Boston-based Partners HealthCare's merger with Care New England Health System in Providence, R.I., according to The Boston Globe.

In a letter issued campus-wide on Thursday, Brown President Christina Paxson, PhD, voiced disapproval of the acquisition of Care New England by Partners. "I feel strongly that letting this acquisition go forward would be wrong for Rhode Island and for Brown," she wrote in the letter. "Doing so is likely to lead to specialty healthcare shifting to Massachusetts, impeding access to healthcare for Rhode Islanders and especially for members of the state's underserved communities."

Dr. Paxson said Brown plans to join with Prospect Medical Holdings in an attempt to purchase Care New England. However, CNE is not interested in the deal.

"While we appreciate their interest in the future of healthcare in Rhode Island … CNE will proceed in our exclusive discussion with Partners as set forth in our letter of intent and we look forward to the next steps in the process," CNE said in a statement.

Partners and CNE signed a letter of intent to merge in April 2017. In December, the parties agreed to extend their talks through Jan. 31, according to The Boston Globe.

More articles on healthcare industry transactions:

10 of the most interesting healthcare transactions of 2017
Tenet, Baylor Scott & White restructure joint venture: 4 things to know
5 biggest healthcare deals of all time

 

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