The Justice Department’s lawsuit challenging UnitedHealth Group’s planned $3.3 billion acquisition of home health company Amedisys is headed to mediation Aug. 18, according to court records.
Five things to know:
1. U.S. Magistrate Judge Susan Gauvey ordered mediation April 10.
2. The Justice Department’s lawsuit was filed in a Maryland federal court Nov. 12. The lawsuit claims the merger could increase home healthcare prices across 23 states and in Washington, D.C. The Attorneys General of Maryland, Illinois, New Jersey and New York also joined the complaint. UnitedHealth has argued the merger would be “would be pro-competitive and further innovation, leading to improved patient outcomes and greater access to quality care.”
3. UnitedHealth’s Optum first announced its plans to merge with Amedisys in June 2023. The Baton Rouge, La.-based company was founded in 1982 and provides home health, hospice and high-acuity care services across more than 500 care centers in 37 states and the District of Columbia. Amedisys shareholders approved the acquisition in September 2023.
4. In February, UnitedHealth Group and Amedisys proposed selling at least 128 home health and hospice facilities as part of their efforts to address competitive concerns arising from the merger.
5. UnitedHealth Group has grown its home care capabilities in recent years. In February 2023, the company completed its $5.4 billion acquisition of home health firm LHC Group, which operates more than 900 facilities. If UnitedHealth’s acquisition of Amedisys goes through, the company would own around 10% of the home health market, with overlap between Amedisys and LHC acquisitions in some Southern states.
