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Quest acquires two Texas labs

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June 15, 2017—Quest Diagnostics has signed definitive agreements to acquire Med Fusion and Clear Point, both based in Lewisville, Texas, with the aim to establish a center of excellence providing diagnostic services to aid the detection and management of cancer for oncologists and patients nationwide. Baylor Scott & White Health; the US Oncology Network (the Network), supported by McKesson Specialty Health; Texas Oncology; and Pathologists Bio-Medical Laboratories are co-owners of one or both businesses.

Once the transaction is complete, which is expected in the third quarter of this year and subject to regulatory approvals, Quest will become a preferred provider of oncology diagnostics for the Network, including Texas Oncology. The Network consists of more than 400 locations in the U.S. with more than 1,400 independent, community-based physicians. Quest will provide genomic and pathology testing, such as tumor sequencing; inherited genetic testing, such as for BRCA breast cancer screening, will not be part of a preferred provider relationship.

Quest will also be a preferred provider of a full range of inpatient and outpatient diagnostic services for 12 Baylor Scott & White Health hospitals in North Texas. Quest and PBM will also have a preferred provider relationship for several services.

McKesson Specialty Health, with the Network and Texas Oncology, plan to collaborate with Quest on the development of standardized, evidence-based services for guiding treatment decisions within the electronic patient record and care plan workflow, building off a model spearheaded by Med Fusion.

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