The Federal Trade Commission has indicated that it won't block the sale of six-hospital Detroit Medical Center to Nashville-based Vanguard Health Systems on antitrust grounds.
FTC won't block Vanguard-DMC deal
The FTC granted the deal early termination status under the Hart-Scott-Rodino Act.
The Michigan attorney general's office also is reviewing the deal and conducted a public hearing on it last month. The deal already has won city, county and state approval of a 15-year tax waiver for the DMC complex.
DMC and Vanguard announced a letter of intent for the sale in March and a definitive agreement in June. Vanguard has agreed to pay $417 million to retire DMC's debt, invest another $850 million in the system and also to take on a pension liability of $184 million that Vanguard has said it will fund over seven years from the completion of the deal. Vanguard said last month that it hopes to close the deal sometime during its fiscal 2011 second quarter, which runs Oct. 1 through Dec. 31.
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