Quest Diagnostics has sealed a definitive deal to purchase select assets of University Hospitals' outreach laboratory services business for an undisclosed sum.

The transaction is anticipated to close in the fourth quarter of 2024, subject to regulatory approvals.

University Hospitals, established in 1866, is a nonprofit health system and academic medical centre headquartered in Cleveland, Ohio.

The organisation operates an extensive network, including over 20 hospitals, more than 50 health centres, outpatient facilities, and upwards of 200 physician offices across 16 counties in northern Ohio.

This acquisition is projected to expand access to Quest Diagnostics' test menu, patient access sites, and health plan coverage in Ohio.

Quest Diagnostics chairman, CEO and president Jim Davis stated: "Top health systems like University Hospitals are transitioning their laboratory services to Quest in order to improve operating efficiency and ensure continued access to affordable care.

"Our specialisation and scale empower us to optimise lab services for quality, innovation and affordability, enabling health systems to dedicate more resources to clinical patient care. We look forward to extending our presence in the many communities in Ohio that can benefit from our expertise."

Echoing the sentiment on the importance of laboratory services, University Hospitals CEO Cliff A Megerian remarked: "Laboratory testing is a critical and increasingly complex area of healthcare and Quest is a trusted name in laboratory services known for high quality and innovation."

This move follows Quest Diagnostics' agreement to acquire certain assets from OhioHealth’s outreach laboratory services.

OhioHealth, a not-for-profit health system, comprises a network of 15 hospitals, three joint-venture hospitals, one managed-affiliate hospital, and over 200 ambulatory sites serving a 50-county area.