The deal, Quest said, will enhance its delivery of diagnostic information services, like an enhanced test menu, to communities in Marin County, California.
“The hospital has worked with Quest for years, and they are known for quality, innovation and scale. We feel they will be better able to maintain the standards our community wants and deserves at a reasonable cost. We will collaborate to ensure a smooth transition,” Lee Domanico, CEO, Marin General Hospital and Marin Healthcare District at Marin General Hospital.
Financial terms were not disclosed. The deal is expected to close in the fourth quarter of 2018.
“This acquisition is consistent with our strategy to accelerate growth and deepens our presence in California,” Steve Rusckowski, chairman, CEO and president, Quest Diagnostics, said. “It also underscores our unique value proposition for health systems, which increasingly require a strong and strategic collaborator in diagnostic services to help them navigate today’s challenging healthcare environment. As PAMA increasingly pressures hospital outreach labs, health systems are seeking opportunities to entrust these services to Quest, given our ability to provide broad access to diagnostic quality and innovation for comparably lower cost.”