FTC sues over Novant Health acquisition of two N.C. hospitals

The federal government is seeking to block Novant Health from acquiring two hospitals in North Carolina, which would give them control of over 65% of the inpatient market in the region. This acquisition would make Novant even more powerful and could drive up insurance premiums and medical bills. Novant, a nonprofit system with $7.6 billion in revenue, plans to buy the hospitals from for-profit chain Community Health Systems. The hospitals are within a short drive from each other. Novant has not responded to the lawsuit, and the final determination on the transaction will be made by a judge. Smaller deals like this can still have significant impacts on the healthcare market.

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