JPMorgan Chase CEO James Dimon has spoken with some healthcare executives to reassure them that the company's new joint venture with Amazon and Berkshire Hathaway will not become their rival, people familiar with the matter told The Wall Street Journal.
JPMorgan, Berkshire and Amazon announced the new healthcare venture Jan. 30. Although they provided few details, they said the new venture's main focus would be cutting healthcare costs for the three companies' U.S. employees.
Following the announcement, at least two of the biggest health insurance companies raised concerns to JPMorgan officials, according to WSJ. Mr. Dimon reiterated to clients that the new venture would only serve the employees of the three companies involved in the partnership.
JPMorgan's healthcare bankers, who help clients with mergers, acquisitions and other transactions, also helped calm healthcare executives' fears. They told clients the new venture is similar to a group purchasing organization, according to WSJ.
Read the full WSJ report here.
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