Original from: Quest Diagnostics

Quest Diagnostics (NYSE: DGX), a leading provider of diagnostic information services, and OhioHealth, a nationally recognized not-for-profit, charitable, integrated health system, today announced a definitive agreement for Quest to acquire select assets of OhioHealth's outreach laboratory services business.

The transaction will broaden access to cost-effective and innovative laboratory services in Ohio. After the acquisition's close, providers and patients will benefit from access to Quest's industry-leading test menu, network of patient service sites throughout the state, broad health plan coverage, and lower out-of-pocket costs for many services.

"As healthcare transforms, we need to ensure we can continue to provide high-quality care to our patients that also provides them value. As a trusted industry leader, Quest has the specialization and scale to ensure our patients have continued access to high quality lab services that, in many cases, will be more affordable for patients," said Chris Clinton, President, OhioHealth Regional Market and former Vice President, Shared Services. "Our relationship with Quest is the right strategic step to enable us to continue to deliver exceptional care to improve the health of those we serve."

"Quest has the expertise and economies of scale to deliver meaningful cost savings in lab services, while our patients continue to access the high quality of care they have been accustomed to from OhioHealth," said Juanita Swickard, Interim Vice President, Shared Services, OhioHealth.

"Our transaction with OhioHealth exemplifies our ability to attract and collaborate with high quality health systems seeking to optimize their lab services," said Jim Davis, Chairman, CEO and President, Quest Diagnostics. "Health systems are increasingly turning to Quest because of our unique ability to deliver laboratory testing that is innovative, accessible and cost effective. This transaction also delivers on our strategy, which includes generating growth through accretive outreach lab acquisitions, and will extend our presence across Ohio."

After the acquisition's close, most outreach testing performed by OhioHealth will transition to the Quest Diagnostics full-service laboratory in Pittsburgh, Pennsylvania. OhioHealth will continue to wholly own and operate its hospital labs, providing high quality laboratory services for inpatient and hospital-based outpatient care as well as anatomic pathology and oncology.

The parties expect to complete the transaction in the third quarter of 2024, assuming customary regulatory reviews. Financial details of the transaction were not disclosed.

Source: Quest Diagnostics to Acquire Outreach Laboratory Services of OhioHealth