Quest Diagnostics to acquire laboratory assets from Allina Health to enhance medical services in Minnesota and Wisconsin

Quest Diagnostics (NYSE: DGX), a premier provider of diagnostic information services, has entered into a definitive agreement to acquire select laboratory assets from Allina Health, a leading non-profit healthcare system. This strategic move aims to enhance the availability and affordability of cutting-edge laboratory services throughout Minnesota and western Wisconsin. The acquisition is poised to benefit healthcare providers and patients alike by integrating Quest’s extensive laboratory services with Allina Health’s network.

Dominica Tallarico, Chief Operations Officer at Allina Health, expressed appreciation for the Allina Health laboratory team’s outstanding contributions and highlighted Quest Diagnostics as the ideal partner to continue advancing high-quality lab services. “This transaction will also allow us to reinvest our non-profit resources to support our caring mission well into the future,” Tallarico noted, underlining the strategic nature of the partnership in fostering long-term healthcare improvements.

Jim Davis, Chairman, CEO, and President of Quest Diagnostics, emphasized the alignment of values and objectives between the two organizations. “Quest and Allina Health share a commitment to enhancing community health through innovative and affordable laboratory services,” said Davis. This deal is not only a step forward in expanding Quest’s service reach but also a significant part of their growth strategy, which includes laboratory acquisitions that contribute positively to their operations.

According to the terms of the agreement, Quest Diagnostics will extend its laboratory services to Allina Health’s clinic physicians and outreach provider clients across the specified regions. The transaction is expected to be finalized in the third quarter of 2024, pending standard regulatory reviews. While financial specifics were not disclosed, the partnership is set to create substantial benefits for healthcare provision in the area.

The collaboration between Quest Diagnostics and Allina Health is a testament to the evolving landscape of healthcare services, where strategic partnerships can significantly enhance service quality and accessibility. This acquisition promises to bring advanced diagnostic capabilities closer to communities in Minnesota and western Wisconsin, marking a critical step in improving regional healthcare infrastructure.