Partners and CNE Push Back Merger Deadline Amid Issues for Both Entities Partners and CNE Push Back Merger Deadline Amid Issues for Both Entities – NTK Network

Partners and CNE Push Back Merger Deadline Amid Issues for Both Entities

For Partners, the delay comes amid other merger issues for the company as they attempt to acquire Massachusetts Eye and Ear.

By NTK Staff | 01.05.2018 @8:45am
Partners and CNE Push Back Merger Deadline Amid Issues for Both Entities

Partners and Care New England have pushed back the deadline for their proposed merger to the end of January. The original deadline was slated for the end-of-year 2017. As the Providence Journal reports:

Partners HealthCare and Care New England are extending an end-of-year deadline for a proposed merger back to the end of January 2018, the hospital companies announced Wednesday.

Care New England has reported continuing fiscal losses through 2017, compounded by the expense of closing Memorial hospital.

For Partners, the delay comes amid other merger issues for the company as they attempt to acquire Massachusetts Eye and Ear. This week, the Massachusetts Health Policy Commission released a report on that merger, estimating it would increase healthcare spending in Massachusetts by as much as $20 million. According to Boston Business Journal:

The Health Policy Commission issued its final report on the the acquisition on Wednesday, reiterating an earlier estimation that the transaction would increase health care spending by $20.8 million to $61.2 million annually through rate increases alone.

The HPC laid out those concerns in an initial report on Nov. 1 and gave the hospitals an opportunity to respond. According to the report released on Wednesday, however, the hospitals “declined to offer an unequivocal and measurable commitment to limit such increases, even though the parties expect to achieve internal efficiencies that would reduce their own expenses.”

The commission referred the matter to the Massachusetts Attorney General, who has the power to stop it. It remains to be seen if Partners’ woes in Massachusetts further complicate the Care New England deal.

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