The Massachusetts Department of Public Health approved Boston-based Partners HealthCare's proposed acquisition of Massachusetts Eye and Ear, also in Boston, Feb. 14, according to the Boston Business Journal.
The department unanimously approved the proposed acquisition Wednesday, with the condition Partners keep any annual rate increases within the state's cost growth benchmark, the report states. Massachusetts Attorney General Maura Healey previously said the AG's office would not sue to stop the proposed acquisition.
The DPH's approval represented the final step necessary to complete the acquisition.
The approval came amid concerns the deal would raise healthcare costs for patients. The state's Health Policy Commission, a healthcare watchdog, issued a report last November indicating the proposed deal could result in increased healthcare costs equating to roughly $20.8 million to $61.2 million annually.
Under the terms of the proposed acquisition, Mass. Eye and Ear will remain a separate hospital with its own leadership. Partners will become the sole corporate member of the hospital, which accrues a net patient service revenue of approximately $185 million and comprises 2,200 employees.
The organizations announced their intent to merge in January 2017.
Following the vote Wednesday, a spokesperson for Partners HealthCare told the Boston Business Journal in a statement, the acquisition would "greatly strengthen the clinical and scientific relationships between our organizations. Together we will make Mass. Eye and Ear services and research accessible to a broader population of patients, further improving the quality of life for thousands of individuals and families."