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New Jersey health systems announce new business partnership

On Behalf of | Apr 18, 2013 | Mergers And Acquisitions |

With the national healthcare reforms the healthcare industry in New Jersey and around the country is changing. In the past few months, this blog has discussed recent mergers between different New Jersey healthcare facilities. These hospitals are hopeful that these complex business transactions can streamline operations and make the system more efficient and cost effective without sacrificing patient care.

Recently, two more large New Jersey health centers have announced a new partnership. In the announcement, New Jersey learned that Cooper University Health Care has purchased a 20 percent stake in AmeriHealth New Jersey.

These business partners have now created a first of its kind arrangement to cut costs and continue to offer individualized patient care and management. Furthermore, the new partnership says that it will be working within the new federal guidelines to increase preventative care for Medicare patients instead of only treating illness.

These changes can be cutting edge for the people of New Jersey, and for the businesses themselves. By creating a partnership, these hospitals are finding a ways to survive in these difficult economic times despite the shifting regulations.

In much the same way, a merger, acquisition or other business partnerships can be extremely helpful to New Jersey businesses in all sectors. When buying a company, a business not only opens the possibility for new resources but also new consumers, employees and sources of revenue. In this volatile economy a merger can put companies ahead of its competition.

However, these transactions do not often happen overnight. Instead they take months of detailed planning and execution. If a deal is properly negotiated and managed, it can be very profitable for all parties involved.

Source: The Star-Ledger, “South Jersey’s Cooper and AmeriHealth announce new partnership,” Susan K. Livio, April 10, 2013