U.S. Sues to Block Hospital Deal Over Antitrust Concerns (1)

The Justice Department sued to block Geisinger Health System’s $100 million acquisition of a 30% stake in Evangelical Community Hospital over concerns the deal is likely to lead to higher costs and lower-quality services for patients.

Geisinger’s deal with Evangelical, an independent community hospital, would drive down competition in the central Pennsylvania region because the acquisition eliminates one of Geisinger’s top rivals, the DOJ said in a statement Wednesday.

“This agreement between Geisinger and Evangelical threatens to harm patients in central Pennsylvania by reducing competition that has improved the price, quality, and availability of healthcare in the region,” Makan Delrahim, ...