The two organizations originally announced the merger in June 2013. Since July, they have provided information to regulatory agencies, including the Federal Trade Commission, to receive merger approval. However, changes in the healthcare landscape and a “challenging regulatory environment” mean the approval process would last at least another year, according to a news release.
The unforeseen extended review process would be a cost and time burden for both Beacon and South Bend Clinic, and together they decided to suspend the merger. The organizations do plan to continue working together closely.
“This is not a step back, but rather an opportunity to innovate and lead the discussion on healthcare reform and develop new problem-solving initiatives that will influence improved care for years to come,” said Phil Newbold, Beacon Health’s CEO, in the release.
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