Healthcare Quarterly

Healthcare Quarterly 3(2) December 1999 : 41-45.doi:10.12927/hcq..16727

Hospital Mergers: Why Some Fail and Others Succeed

Michele Jordan and Neil Stuart


Mergers are pervasive. It is estimated that in the United States there were 10,700 deals valued at $919 billion (US) in 1997. Worldwide mergers were estimated to be valued at $1.6 trillion (US). The healthcare sector has not been left out of the "merger movement."

For example, in Ontario, the Health Services Restructuring Commission has recommended over 40 hospital mergers. This represents a 36% reduction in the number of hospital corporations in the province. In addition, a small number of hospital corporations have embarked on voluntary mergers (i.e., not mandated by the HSRC).



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