UnitedHealth Faces Antitrust Challenge Over Amedisys Acquisition

The U.S. Department of Justice, along with attorneys general from four states, has filed a civil antitrust lawsuit to block UnitedHealth Group's proposed $3.3 billion acquisition of Amedisys Inc. The lawsuit, filed in the District of Maryland, claims that combining these two significant players in the home health and hospice market would reduce competition, negatively impact patients, raise costs, and depress wages for healthcare workers. UnitedHealth, having previously acquired LHC Group, is already a major presence in this sector. The lawsuit indicates that the acquisition would give UnitedHealth a predominant market position, presumed illegal in various local markets across 23 states and the District of Columbia, potentially limiting options for millions of patients and thousands of nurses. The DOJ's challenge also highlights UnitedHealth's proposed divestment of overlapping facilities to VitalCaring Group as insufficient, due to VitalCaring’s financial and operational weaknesses. Additionally, the lawsuit includes allegations against Amedisys for violating antitrust disclosure requirements, seeking financial penalties for the same.