Statement Regarding the Termination of Novant Health’s Acquisition of Hospitals from Community Health Systems

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Federal Trade Commission Bureau of Competition Director Henry Liu issued the following statement in response to Novant Health, Inc.’s decision to terminate its proposed acquisition of two hospitals from Community Health Systems:

“Hospital consolidation diminishes quality of care and increases costs for critical services. Novant’s deal with Community Health Systems would have followed this same trend to the detriment of North Carolinians.

The FTC’s opposition to the transaction has been vindicated by the injunction pending appeal, granted by the Fourth Circuit Court of Appeals. In ruling on the injunction, the Fourth Circuit examined the FTC’s likelihood of success on appeal, among other factors. Novant’s and CHS’s decision to abandon their anticompetitive transaction after this ruling is a win for consumers.

Now with this deal off the table, Novant and Community Health Systems will continue to compete against one another, delivering better outcomes for patients in both quality of care and price. I also want to thank all the FTC staff that dedicated themselves to this case and for their work on this important matter.”

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