Summary: Quest Diagnostics is acquiring select laboratory assets from Allina Health to enhance access to affordable, high-quality laboratory services in Minnesota and western Wisconsin.

Takeaways:

  1. The acquisition aims to improve the availability and affordability of innovative laboratory services for patients and providers in Minnesota and western Wisconsin.
  2. Allina Health will reinvest resources from the transaction into its non-profit mission, ensuring continued support for its healthcare services.
  3. The agreement is expected to be finalized in the third quarter of 2024, pending regulatory reviews, and will extend Quest Diagnostics’ service offerings in the region.

Quest Diagnostics and non-profit health care system Allina Health announced a definitive agreement for Quest to acquire select laboratory assets from Allina Health, with the goal to improve access to and the affordability of innovative laboratory services across Minnesota and western Wisconsin. 

“We are grateful for our Allina Health laboratory team and the foundation of excellence they have established in lab services. Quest is the right partner to build on this strength to ensure providers and patients can continue to access innovative and high-quality laboratory services,” says Dominica Tallarico, chief operations officer for Allina Health. “This transaction will also allow us to reinvest our non-profit resources to support our caring mission well into the future.”  

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“Our transaction with Allina Health will extend access to Quest’s extensive service offerings in Minneapolis and throughout Minnesota and western Wisconsin,” says Jim Davis, Chairman, CEO and President, Quest Diagnostics. “Quest and Allina Health share a lot in common, including a commitment to helping a range of communities benefit from quality and innovative laboratory services that people can afford. This transaction also reflects progress in delivering on our strategy, which includes generating growth through accretive laboratory acquisitions.”  

Under the terms of the definitive agreement, Quest will offer its laboratory services to Allina Health clinic physicians and outreach provider clients across Minnesota and western Wisconsin, the company says. Quest Diagnostics and Allina Health expect to complete the transaction in the third quarter of 2024, assuming customary regulatory reviews. Financial details were not disclosed.