- The proposed merger of Colorado-based UCHealth and Parkview Health System has stalled due to “regulatory matters,” according to financial documents filed this week. Parkview said in the filing that its pending combination with UC Health would not close in mid-2023 as expected, and did not provide a new timeline for the deal’s closure, saying it “remains committed to working through any regulatory hurdles” but “can give no assurance when or if the transaction will be consummated.” The CEO at Parkview previously cited financial strife as a big reason for seeking the combination with UCHealth, as four out of five patients at Parkview are covered by a government payer. UCHealth has 12 hospitals and more than 150 clinics across Colorado, Nebraska, and Wyoming. (Article here)
- Eli Lilly and Co said on Friday it will acquire privately held drug developer Versanis for potentially up to $1.93 billion in a bid to bolster its portfolio of obesity drugs. The deal comes amid growing demand for weight-loss treatments, whose market size is expected to touch up to $100 billion in a decade, industry executives and analysts have said. Versanis’s lead drug, bimagrumab, is being evaluated in a mid-stage trial alone as well as in combination with Novo Nordisk’s Wegovy or semaglutide in adults who are overweight or obese. (Article here)
July 31, 2023
M&A | Tea Leaves