Antitrust Law Daily Wrap Up, ANTITRUST NEWS: FTC Seeks Comment on Universal Health Services Application to Divest Assets to Strategic Behavioral Health, LLC, (Mar 29, 2013)

By Jody Coultas, J.D.

The FTC is seeking public comment on an application by Allen B. Miller and hospital management company Universal Health Services, Inc. (UHS) to sell an acute inpatient psychiatric facility in the El Paso, Texas/Santa Teresa, New Mexico area to Strategic Behavioral Health, LLC (SBH).

The divesture of the facility was required by a consent order in which the FTC put conditions on UHS’s proposed acquisition of Ascend Health Corporation, including selling the Peak Behavioral Health Assets facility to an acquirer approved by the Commission.

UHS contends that the proposed divestiture would accomplish the purpose of the FTC’s order by ensuring the continuation of the facility as a viable acute psychiatric hospital and by remedying the lessening of competition that resulted from UHS’s acquisition of Ascend. The application states that SBH has the resources to be a strong competitor for the provision of acute inpatient psychiatric services in the market.

After the expiration of the public comment period, the FTC will decide whether to approve the application. Public comments may be submitted through April 29, 2013. Written comments should be sent to: FTC Office of the Secretary, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580. Comments also may be filed electronically here.

Companies: Universal Health Services, Inc.; Strategic Behavioral Health, LLC; Ascend Health Corporation

News: Antitrust FederalTradeCommissionNews