Labcorp to acquire Baystate Health's outreach
laboratory business and select operating assets
Collaboration to improve access and enhance
affordable, high-quality healthcare services for underserved
communities across Massachusetts
BURLINGTON, N.C., Oct. 4, 2023
/PRNewswire/ -- Labcorp (NYSE: LH), a global leader of
innovative and comprehensive laboratory services, announced today
it will acquire Baystate Health, Inc.'s (Baystate Health) outreach
laboratory business and select operating assets, including
laboratory service centers operated by Baystate Health throughout
Massachusetts. This strategic
relationship will build upon Labcorp's and Baystate Health's
existing reference laboratory relationship to improve the
efficiency of routine and specialty lab testing.
In addition, Labcorp will establish a regional laboratory in
Baystate Health's facility in Holyoke,
Massachusetts, where Baystate Health will continue to
provide professional support services for anatomic pathology and
select specialty testing at its existing laboratory.
Baystate Health and Labcorp will also work together to enhance
affordable, high-quality healthcare services for underserved
communities throughout the region. The goal of this strategic
relationship is to improve access to testing for patients and
providers, standardize laboratory testing throughout Baystate
Health, and expand on the ability to deliver timely results.
"This collaboration is fully aligned with Baystate Health's
mission to improve the health of the people in our communities
every day, with quality and compassion," said Mark Keroack, M.D., MPH, President & Chief
Executive Officer, Baystate Health. "Labcorp believes in our
mission and will continue to deliver a high level of service with
plans to make capital investments in structure and process to
deliver laboratory services to our patient population in more
innovative and efficient ways."
"For many years, Labcorp has served as our trusted primary
reference testing provider, and we are confident they will continue
to deliver high-quality outcomes, affordable access, and optimal
service for our patients and providers," said Sam Skura, President, Baystate Medical Center
and Senior Vice President, Hospital Operations, Baystate Health.
The acquisition will combine important capabilities, experience,
and technologies from both organizations to further the delivery of
high-quality patient care. It will leverage Labcorp's leading
clinical laboratory services, robust data, and digital tools with
continued, convenient patient access through the extensive network
of Baystate Health patient service centers that Labcorp will
acquire, in addition to Labcorp's existing service centers in the
region.
"Labcorp is focused on delivering high-quality, cost-effective
laboratory testing to health systems, physicians, patients, health
plans and communities we serve," said Bill
Haas, Senior Vice President of Labcorp's Northeast Division.
"We are thrilled to grow our important relationship with Baystate
Health and to realize our shared vision to enhance the patient and
provider experience in the communities Baystate serves."
The transaction is expected to close in early 2024 and is
subject to customary closing conditions and applicable regulatory
approvals.
About Labcorp
Labcorp (NYSE: LH) is a global leader
of innovative and comprehensive laboratory services that helps
doctors, hospitals, pharmaceutical companies, researchers, and
patients make clear and confident decisions. We provide insights
and advance science to improve health and improve lives through our
unparalleled diagnostics and drug development laboratory
capabilities. The company's more than 60,000 employees serve
clients in over 100 countries, worked on over 80% of the new drugs
approved by the FDA in 2022 and performed more than 600 million
tests for patients around the world. Learn more about us at
www.labcorp.com.
About Baystate Health
Baystate Health is a not-for-profit, integrated healthcare system
serving over 800,000 people throughout western New England.
Baystate Health is the largest healthcare organization in western
Massachusetts. With roots dating
to the founding of Springfield Hospital in 1883, Baystate Health
has been providing high-quality and compassionate healthcare in the
Pioneer Valley for more than 140 years. Its mission is to improve
the health of the people in its communities every day, with quality
and compassion. With a focus on quality, safety, value, and
experience, Baystate is not only a keystone of the region, it is a
national leader in healthcare. Learn more at
www.baystatehealth.org.
Cautionary Statement Regarding Forward-Looking
Statements
This press release contains forward-looking
statements, including but not limited to statements with respect to
the company's acquisition of Baystate Health, Inc.'s outreach
laboratory business and select operating assets, and the
anticipated benefits of the transaction for providers and patients,
and the expected timing to closing.
Each of the forward-looking statements is subject to change
based on various important factors, many of which are beyond the
company's control. These factors, in some cases, have affected and
in the future (together with other factors) could affect the
company's ability to implement the company's business strategy and
actual results could differ materially from those suggested by
these forward-looking statements. As a result, readers are
cautioned not to place undue reliance on any of the forward-looking
statements.
The company has no obligation to provide any updates to these
forward-looking statements even if its expectations change. All
forward-looking statements are expressly qualified in their
entirety by this cautionary statement. Further information on
potential factors, risks and uncertainties that could affect
operating and financial results is included in the company's most
recent Annual Report on Form 10-K and subsequent Forms 10-Q,
including in each case under the heading RISK FACTORS, and in the
company's other filings with the SEC. The information in this press
release should be read in conjunction with a review of the
company's filings with the SEC including the information in the
company's most recent Annual Report on Form 10-K, and subsequent
Forms 10-Q, under the heading MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.
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SOURCE Laboratory Corporation of America Holdings