LabCorp to Acquire Assets of Mount Sinai Health System Clinical Outreach Laboratories
11 January 2017 - 12:30AM
Business Wire
Transaction will benefit physicians and
patients in metropolitan New York City
Laboratory Corporation of America® Holdings (LabCorp®) (NYSE:
LH), a world leading life sciences company, and the Mount Sinai
Health System (Mount Sinai), one of the largest health systems in
metropolitan New York City, have entered into a definitive
agreement for LabCorp to acquire assets of Mount Sinai’s Clinical
Outreach Laboratories. When the transaction is complete, LabCorp
will be available to provide comprehensive laboratory services to
physicians and patients that currently use Mount Sinai’s outreach
laboratory.
“LabCorp has successfully provided comprehensive health system
solutions for over three decades,” said David P. King, chairman and
chief executive officer of LabCorp. “This transaction, giving us
the opportunity to serve an anchor health system in the critical
New York metro market, provides us even broader opportunity to
improve health and lives through the delivery of world class
diagnostics.”
Mount Sinai will continue to provide laboratory testing for
patients registered at its hospitals and ambulatory facilities as
inpatients or outpatients, as well as laboratory testing services
for physicians in their professional practices in the areas of
anatomic pathology, molecular pathology and genetics. LabCorp will
offer clinical pathology testing, including cytology and
cytology-related molecular testing. Seven patient service centers
currently operated by Mount Sinai will be added to LabCorp’s
existing network of 120 patient service centers in the metropolitan
New York City area. The parties are also vigorously exploring
opportunities to collaborate on projects involving companion
diagnostics, clinical trials and medical education.
“LabCorp was selected for its depth and breadth of services and
track record of high quality,” said Carlos Cordon-Cardo, M.D.,
Ph.D., Irene Heinz Given and John LaPorte Given professor and
chairman, Department of Pathology, Mount Sinai Health System.
“Their unparalleled reputation and success ensures our patients
will continue to have access to high-quality, high-value and
convenient testing services.”
“Customers and patients will quickly see the advantages of our
differentiators,” said William B. Haas, senior vice president and
co-leader of LabCorp Diagnostics. “Only LabCorp can offer access to
clinical trials and research through Covance Drug Development,
enhanced IT and data analytics, standardized testing platforms and
broad patient access.”
“We are confident this transaction will provide great benefits
for our patients and physicians and allow Mount Sinai to continue
to invest in our core strategic programs,” said Donald Scanlon,
chief financial officer and chief of corporate services, Mount
Sinai Health System. “LabCorp’s proven track record of service
excellence, breadth of diagnostic capabilities, and cost-efficiency
will benefit our community now and in years to come.”
The transaction, which has already received clearance under the
Hart-Scott-Rodino Antitrust Improvements Act of 1976, is expected
to close in the first quarter of 2017. Other terms of the
transaction were not disclosed.
Citi acted as exclusive advisor to the Mount Sinai Health System
in connection with the clinical outreach assets sold in this
transaction.
About LabCorp®
Laboratory Corporation of America® Holdings (NYSE: LH), an
S&P 500 company, is a world leading life sciences company,
providing comprehensive clinical laboratory and end-to-end drug
development services. With a mission to improve health and improve
lives, LabCorp delivers world-class diagnostic solutions, brings
innovative medicines to patients faster and develops
technology-enabled solutions to change the way care is provided.
With net revenue in excess of $8.5 billion in 2015, LabCorp’s
50,000 employees serve clients in 60 countries. To learn more about
LabCorp, visit www.labcorp.com, and to learn more about Covance
Drug Development, visit www.covance.com.
This press release contains forward-looking statements including
with respect to estimated 2016 guidance and the impact of various
factors on operating results. Each of the forward-looking
statements is subject to change based on various important factors,
including without limitation, competitive actions in the
marketplace, adverse actions of governmental and other third-party
payers and the results from the Company’s acquisition of Covance.
Actual results could differ materially from those suggested by
these forward-looking statements. Further information on potential
factors that could affect LabCorp’s operating and financial results
is included in the Company’s Form 10-K for the year ended December
31, 2015, and subsequent Forms 10-Q, including in each case under
the heading risk factors, and in the Company’s other filings with
the SEC, as well as in the risk factors included in Covance’s
filings with the SEC. The information in this press release should
be read in conjunction with a review of the Company’s filings with
the SEC including the information in the Company’s Form 10-K for
the year ended December 31, 2015, and subsequent Forms 10-Q, under
the heading MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170110005755/en/
Laboratory Corporation of America® HoldingsInvestors:Scott
Frommer, 336-436-5076Investor@labcorp.comorMedia:Pattie Kushner,
336-436-8263Media@labcorp.comCompany Information:
www.labcorp.com
Laboratory Corporation o... (NYSE:LH)
Historical Stock Chart
From Apr 2024 to May 2024
Laboratory Corporation o... (NYSE:LH)
Historical Stock Chart
From May 2023 to May 2024