The increase in activity of hospitals acquiring physician practices has peaked the interest of both state and federal antitrust regulators. Government agencies are launching investigations to ensure these consolidations are not being used by hospitals to boost healthcare prices. The U.S. Federal Trade Commission (FTC) has sought injunctions to stop hospital mergers and acquisitions three times in just the past twelve months!
The trend of physician practices being acquired by hospitals is being fueled by a federal push for Accountable Care Organizations (ACOs) and the offer of integrated care incentives.
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