FTC Bureau of Competition Statement on Termination of Healthcare Managed Services Merger

In response to yesterday’s announcement that Aya Healthcare terminated its proposed acquisition of Cross Country Healthcare, Federal Trade Commission Bureau of Competition Director Daniel Guarnera issued the following statement:

“FTC staff identified significant competitive concerns with Aya Healthcare’s proposed acquisition of Cross Country Healthcare. The deal would have eliminated head-to-head competition between two of the largest firms providing the software and services that hospitals use to find, hire, and manage their pools of traveling nurses and other temporary healthcare workers. Further consolidation in this important market risked reducing the options available for many thousands of healthcare workers, increasing hospitals’ expenses, and ultimately raising healthcare costs for American patients.

I want to thank the FTC staff who worked on this matter. The Bureau of Competition will continue to investigate and—when necessary—file enforcement actions to protect competition in healthcare and labor markets for the benefit of American patients and workers, especially when those transactions form part of a broader consolidation strategy.”