Dive Brief:
- The acquisition of Health Management Associates by Community Health Systems moved ahead this week, with stockholder Glenview Capital Management, which owns 14.5% of HMA, agreed to the deal.
- The planned acquisition, which has been approved by HMA's board of director, is a $7.6B deal that would create the nation's largest for-profit hospital company.
- CHS expects to complete the acquisition during the first quarter of 2014.
Dive Insight:
Though this is a particularly large deal, in other ways it simply reflects the moves hospitals and health systems are making to survive. With countless factors eating away at their margins, most hospitals will need to merge or partner to keep their head above water. For many, the next year will be the right time to merge; expect to see many more deals over the next 12 months.