HealthPartners says merger with Park Nicollet is on track
- November 23, 2012 - 8:59 PM
The proposed merger between HealthPartners and Park Nicollet is on track to close by Jan. 1 after federal officials declined to throw up roadblocks during a pre-merger review.
The Federal Trade Commission, which is charged by Congress to address anti-competitive behavior, "did not raise any objections in the review process," HealthPartners spokesman Jeff Shelman said Friday.
HealthPartners, based in Bloomington, is a health plan that also operates Regions Hospital in St. Paul and 70 medical and dental clinics primarily in the eastern Twin Cities and western Wisconsin area. HealthPartners gets about two-thirds of its revenue from its insurance business, which covers about 1.4 million people.
Park Nicollet, whose flagship is Methodist Hospital in St. Louis Park, also operates a cancer center and eating disorders clinic in addition to 26 clinics. Its operations are more dominant in the western side of the metropolitan area.
The two nonprofits announced their intention to merge operations on Aug. 30. The combined entity, with revenue of about $4.8 billion in 2010, will operate under the HealthPartners name. Park Nicollet clinics will not change their names, according to HealthPartners.
The move is part of a wave of reform-minded consolidations in which health plans are merging with doctor groups, hospitals and clinics. The integrated operation is expected to get about half of its revenue from insurance and half from medical operations, making it one of the largest health care systems in Minnesota.
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