LabCorp Acquires Labs from Mount Sinai

1/10/17

Laboratory Corp. of America reached an agreement with the Mount Sinai Health System, one of the largest health systems in New York City, to acquire assets of Mount Sinai’s Clinical Outreach Laboratories.

Terms were not disclosed.

LabCorp, based in Burlington, is the world’s biggest health care diagnostics company. The Mount Sinai Health System includes seven hospital campuses in New York City, regional ambulatory services and the Icahn School of Medicine at Mount Sinai.

LabCorp will obtain seven patient service centers currently operated by Mount Sinai, adding to the company’s 120 patient service centers in the New York City metro area.

Mount Sinai will continue to offer laboratory testing for patients registered at its hospitals and ambulatory facilities and various laboratory testing services for physicians in professional practices. LabCorp will offer clinical pathology testing, including cytology and cytology-related molecular testing.

Mount Sinai stands to benefit from LabCorp’s end-to-end drug development capabilities.

“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.”

The deal, which has already passed review under antitrust laws, is expected to close this quarter. The financial terms of the deal were not disclosed in the 8-K filed Jan. 10.

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