Axios Vitals: The pandemic hasn’t stopped hospital mergers
By Caitlin Owens
June 23, 2020
Hospitals that have pocketed tens of millions of dollars in federal coronavirus bailouts are still pursuing big-ticket mergers and acquisitions, Axios’ Bob Herman writes.
Why it matters: The pandemic has dried up big parts of hospitals’ businesses, and that’s why Congress established a $175 billion bailout fund to help them. At the same time, they’re spending millions on lawyers and advisers to explore deals that expand their business empires.
Advocate Aurora Health and Beaumont Health are in discussions to merge into a giant hospital system spanning three Midwest states.
Beaumont has received more than $550 million so far in coronavirus bailout funds, and Advocate Aurora has received $328 million.
Atrium Health, Duke Health and Novant Health are in a multibillion-dollar bidding war to acquire New Hanover Regional Medical Center in Wilmington, North Carolina.
Atrium has pocketed $149 million, Novant has received more than $80 million and Duke has gotten almost $50 million in bailout funds….