$350M Tennessee hospital deal called off amid FTC opposition

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MEMPHIS, Tenn. (AP) — Plans are canceled for a Memphis-based health care system to acquire two area hospitals after the Federal Trade Commission opposed the $350 million deal.

In a statement Wednesday, Methodist Le Bonheur Healthcare CEO Michael Ugwueke says his health system and Tenet Healthcare Corporation decided to call off Methodist’s acquisition of Saint Francis Hospital-Memphis and Saint Francis Hospital-Bartlett.

Ugwueke cited the FTC’s recent decision to ask a court to block the sale, saying costly and protracted litigation would have lasted at least 18 months and distracted from the hospital system’s core mission.

Attorney General Herbert Slatery’s office had joined the FTC in challenging the deal.

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