Healthcare Competition Takes Center Stage in Federal Court as Novant Health Fights Against FTC Injunction for North Carolina Hospitals Acquisition”.

Novant Health and Community Health Systems have filed a complaint in federal court in the Western District of North Carolina opposing the Federal Trade Commission’s efforts to block a $320 million agreement to purchase two North Carolina hospitals owned by CHS. In the complaint, they are requesting that the court deny the FTC’s request for a preliminary injunction against the acquisition.

The FTC had filed for a preliminary injunction in March to halt the sale of CHS-owned Mooresville’s Lake Norman Regional Medical Center and Statesville’s Davis Regional Medical Center. Novant Health stated that they were looking to acquire two struggling hospitals that were not considered significant competitors in the market. However, according to Novant and CHS, the FTC’s viewpoint on healthcare competition in the Charlotte area is narrow and distorted. They pointed out that Atrium Health is the largest healthcare provider in the region, yet the FTC does not recognize its market share.

In January, the FTC had initiated a lawsuit to prevent Novant Health’s acquisition of the two North Carolina hospitals from CHS, citing concerns about potential cost increases for patients. The FTC contended that the deal could lead to higher prices and lower investments in quality care. However, according to Novant Health, which is considered one of the largest and most expensive hospital systems by