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Home healthcare providers abandon $1.25B deal amid FTC probe

Two home healthcare providers, Aveanna Healthcare and Maxim Healthcare Services, have terminated their proposed acquisition agreement, the Federal Trade Commission announced last week. 

Atlanta-based Aveanna announced its intent to acquire the home health division of Columbia, Md.-based Maxim Healthcare Services for $1.25 billion last February, according to Home Healthcare News. 

FTC regulators said they had concerns over the deal's effect on nursing service competition. As a result, they launched an investigation that lasted several months.

The FTC investigation ended Jan. 30, after the home healthcare providers abandoned their deal.

"As a result of that investigation, staff had concerns about the transactio's potential anti-competitive effects," FTC Chairman Joseph Simons said in a prepared statement. "Now that the deal has been abandoned, patients and private-duty nurses will continue to benefit from competition between Aveanna and Maxim."

More articles on healthcare industry transactions:
VillageMD acquires Arizona medical group with nearly 50 providers
FTC shakes up leadership in healthcare merger division
UMass Memorial to acquire Harrington HealthCare

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