What Mediation Means for the UnitedHealth Group, Amedisys Deal

Antitrust attorney Kenneth Racowski was interviewed at length by Home Health Care News about the upcoming mediation between the U.S. Department of Justice (DOJ) and UnitedHealth Group and Amedisys Inc. In November 2024, the DOJ sued to block UnitedHealth Group's acquisition of Amedisys, arguing the deal was anticompetitive and illegal. The government and companies will head to mediation in August, where, as Mr. Racowski explained, each party will hold a series of meetings with a mediator to lay out their positions and attempt to resolve any issues. One tactic already proposed is for Amedisys – one of the largest organizations in the home-based care industry – to divest some of its more than 500 locations to help mitigate concerns about market consolidation. Mr. Racowski speculated that much of the forthcoming conversations will center on this option.

"...[T]he fact that there's a mediation now suggests to me that the mediation is going to be all about talking about proposed spin-offs or divestitures that United may be willing to offer, and the DOJ might be willing to accept, to allow the merger to go through," he said.

Mr. Racowski added he believes the DOJ's challenge will end in a settlement, contrasting the Trump Administration's more business-friendly approach to the Biden Administration's scrutiny of mergers and acquisitions (M&A) and tendency to "litigate it to the end."

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