In late February, the FTC announced it would sue to block the merger of the two Philadelphia-based health systems, staying it would reduce competition in both Philadelphia and Montgomery counties. The deal has been pending since 2018.
A federal judge is now hearing the Federal Trade Commission’s challenge of the deal.
Einstein Healthcare Network tried to keep its valuation hidden, but the judge refused.
The complaint, unsealed March 16, also revealed the importance of the Einstein acquisition to Jefferson Health.
“We have to continue strategically on the path to essentiality, and Einstein is the key,” Jefferson Health’s CEO Stephen Klasko said in the complaint, according to The Inquirer.
According to the complaint “essentiality” means that insurers would need to negotiate with Jefferson if they want to enter the Philadelphia market.
Jefferson and Einstein didn’t respond to the Inquirer’s request for comment.
More articles on healthcare industry transactions:
2 Brooklyn nonprofit hospitals merging
FTC challenge of Philadelphia hospital merger ‘myopic,’ AHA says
Tampa General, USF Health physician groups to merge
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