OhioHealth, based in Columbus, Ohio, announced on July 10 that it had signed an agreement to sell certain assets of its outreach laboratory services business to Quest Diagnostics.
OhioHealth is a family of not-for-profit hospitals and healthcare facilities serving central Ohio since 1891.
Quest Diagnostics provides diagnostic testing information services in the United States and internationally. Quest annually serves one in three adult Americans and half the physicians and hospitals in the United States with approximately 50,000 employees. According to its most recent annual report, Quest Diagnostics generated $9.25 billion in annual revenues during FY 2023, and annual EBITDA of $1.7 billion.
The transaction is expected to close in the third quarter of the year, pending regulatory approval. OhioHealth will transition its outreach testing to Quest Diagnostics’ full-service laboratory in Pittsburgh when the deal closes. OhioHealth will continue to own and operate its hospital labs and services for inpatient and hospital-based outpatient care, and anatomic pathology and oncology.
This acquisition follows the news that came earlier in the month of Quest Diagnostics’ acquisition of LifeLabs, a Canada-based provider of laboratory diagnostic information and digital health connectivity systems. Financial terms of the agreement were not disclosed.
According to data captured in the LevinPro HC database, this transaction marks the 65th Laboratories, MRI and Dialysis acquisition of 2024. Of those transactions, 57% (37 deals) have been announced in the diagnostics specialty.
This marks Quest Diagnostic’s fifth transaction of the year. Its other deals announced in 2024 include:
