FTC Says Minnesota Hospital Merger Can Close If Hospitals Eliminate Physician Noncompetes

The Federal Trade Commission (FTC) announced on October 6 that it would permit a merger between Minnesota-based CentraCare Health and St. Cloud Medical Group (SCMG), as long as CentraCare released its physicians from non-compete contract clauses. CentraCare Health is a non-profit health system in central Minnesota that includes a multi-specialty physician practice group. SCMG is a physician-owned, multi-specialty practice group that operates four clinics in and around St. Cloud.

The FTC said CentraCare’s planned acquisition of SCMG would combine the two largest providers of adult primary care, pediatric, and OB/GYN services in . . .