UMass Memorial Medical Center, the flagship facility of UMass Memorial Health Care in Worcester, Mass., has sold its clinical and anatomic pathology outreach laboratory businesses to Quest Diagnostics.
Financial terms of the deal were not disclosed. Hospital officials explained the move to outsource was based on national challenges to hospital payments.
"Given the high cost of healthcare and reimbursement pressures in the U.S., it is incumbent upon healthcare leaders to develop creative solutions for delivering high-quality, more affordable patient-centered care," said John O'Brien, president and CEO of UMass Memorial Health Care, in a news release. "This transaction…will allow us to focus on our core hospital services."
Quest Diagnostics' acquisitions of UMass Memorial's lab businesses will add roughly 50 new patient service centers to its roster in Massachusetts. UMass Memorial will also have the option to invest in a minority financial stake in Quest Diagnostics' Massachusetts business, according to the release.
Financial terms of the deal were not disclosed. Hospital officials explained the move to outsource was based on national challenges to hospital payments.
"Given the high cost of healthcare and reimbursement pressures in the U.S., it is incumbent upon healthcare leaders to develop creative solutions for delivering high-quality, more affordable patient-centered care," said John O'Brien, president and CEO of UMass Memorial Health Care, in a news release. "This transaction…will allow us to focus on our core hospital services."
Quest Diagnostics' acquisitions of UMass Memorial's lab businesses will add roughly 50 new patient service centers to its roster in Massachusetts. UMass Memorial will also have the option to invest in a minority financial stake in Quest Diagnostics' Massachusetts business, according to the release.
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