What happened

The Federal Trade Commission finalized a consent order involving Sevita Health's acquisition of BrightSpring Health Services Inc.'s community living business, requiring Sevita to divest a package of intermediate care facility assets to resolve the agency's merger concerns.

The order requires Sevita to divest 128 intermediate care facilities, along with other assets such as day-training programs. The facilities are located in Indiana, Louisiana and Texas and must be divested to Dungarvin Group Inc., which the FTC described as an experienced operator of intermediate care facilities.

The FTC said the order also imposes operational transition requirements, including requiring Sevita to assist Dungarvin in obtaining licenses, permits, authorizations or certifications needed to operate the divested facilities.

The agency said the final order resolves charges that Sevita's acquisition of BrightSpring's community living business, called ResCare Community Living, would reduce consumer choice and quality of care for intermediate care facility services for people with intellectual and developmental disabilities in certain markets in Indiana, Louisiana and Texas.

The commission approved the final order by a 2-0 vote after a public-comment period. The FTC announcement was tagged as a competition, merger and health care matter involving the Bureau of Competition, health care and health professional services.