Partners, Harvard Pilgrim put merger talks on hold
Partners HealthCare and Harvard Pilgrim Health Care are tabling their planned merger after executives reportedly felt the deal was getting too complicated.
Boston-based Partners, Massachu- setts’ dominant health system, and Wellesley, Mass.-based Harvard Pilgrim, the state’s second-largest health plan, announced in May they were considering a possible merger. The not-forprofit companies on Nov. 16 confirmed the merger talks were on hold.
Partners CEO Dr. David Torchiana told the Boston Globe the deal was getting too complicated and was bound to face regulatory scrutiny. He said the announcement doesn’t rule out the possibility of a future deal.
Partners’ existing health plan, Neighborhood Health Plan, reported an operating loss of $5 million in this year’s third quarter, compared with an operating gain of $34 million in the same 2017 period. The plan’s premium revenue dropped 64% in the quarter. Partners is rebranding the plan as AllWays Health Partners starting Jan. 1.