Quest Diagnostics Completes Acquisition of Clinical Testing Assets from Fresenius Medical Care

Rhea-AI Summary

Quest Diagnostics (NYSE: DGX) has completed its acquisition of select clinical testing assets from Spectra Laboratories, owned by Fresenius Medical Care. The deal positions Quest to provide dialysis-related clinical testing to independent dialysis clinics previously served by Spectra.

Under a separate laboratory services agreement, Quest will begin providing comprehensive dialysis-related laboratory services for Fresenius Medical Care's U.S. dialysis centers, serving approximately 200,000 patients annually. The service transition will start this month and is expected to complete by early 2026.

The strategic acquisition will leverage Quest's laboratory network to reduce transportation time and expedite results reporting. Quest plans to optimize capital returns by utilizing its facilities during lower-volume daytime hours.

Positive

• Expansion into dialysis testing market serving 200,000 patients annually
• Strategic optimization of laboratory network utilization during low-volume hours
• Reduced transportation time and faster results reporting through multiple U.S. laboratories
• Entry into growing market with 800,000+ dialysis patients in the U.S.
• Additional revenue stream from water testing assets acquisition expected by end of 2025

Negative

• Extended transition period until early 2026 may impact immediate revenue recognition
• Capital investment required for laboratory network optimization
• Integration costs and operational challenges during transition period

SECAUCUS, N.J., Aug. 5, 2025 /PRNewswire/ -- Quest Diagnostics (NYSE: DGX), a leading provider of diagnostic information services, today announced the completion of its previously announced acquisition of select clinical testing assets of Fresenius Medical Care's wholly owned Spectra Laboratories, a leading provider of renal-specific laboratory testing services in the United States. With this acquisition, Quest will be positioned to provide dialysis-related clinical testing to independent dialysis clinics previously served by Spectra Laboratories. Quest also expects to complete the acquisition of select dialysis-related water testing assets by the end of 2025.

In addition, under a separate, previously announced laboratory services agreement, Quest later this month will begin to provide comprehensive dialysis-related laboratory services for dialysis centers operated by Fresenius Medical Care in the United States, which serve approximately 200,000 patients annually. The transition of services is expected to increase over the next several months and to be completed by early 2026.

The arrangement will allow providers and patients at dialysis clinics to benefit from Quest's clinical leadership and diagnostic innovation in chronic kidney disease services. Multiple Quest laboratories across the U.S. will provide testing for nearby dialysis clinics, reducing transportation time and speeding results reporting for some test services. In addition, Quest expects to optimize its return on capital invested into its laboratory network by performing testing during lower-volume daytime hours. 

Chronic kidney disease affects about 35.5 million people, or 14%, of the U.S. population, making it one of the nation's 10 most prevalent and costly chronic diseases in the U.S. Up to 9 in 10 adults who have CKD are not aware that they have the disease. Once the disease has progressed to end-stage kidney disease (ESKD), patients typically require transplant or dialysis. More than 800,000 people in the U.S. receive dialysis. Dialysis requires periodic lab testing to manage the disease as well as testing water for contaminants.

About Quest Diagnostics
Quest Diagnostics works across the healthcare ecosystem to create a healthier world, one life at a time. We provide diagnostic insights from the results of our laboratory testing to empower people, physicians and organizations to take action to improve health outcomes. Derived from one of the world's largest databases of de-identifiable clinical lab results, Quest's diagnostic insights reveal new avenues to identify and treat disease, inspire healthy behaviors and improve healthcare management. Quest Diagnostics annually serves one in three adult Americans and half the physicians and hospitals in the United States, and our more than 55,000 employees understand that, in the right hands and with the right context, our diagnostic insights can inspire actions that transform lives and create a healthier world. www.QuestDiagnostics.com.

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SOURCE Quest Diagnostics

FAQ

What assets did Quest Diagnostics (DGX) acquire from Fresenius Medical Care?

Quest acquired select clinical testing assets from Spectra Laboratories (owned by Fresenius Medical Care) and will acquire dialysis-related water testing assets by end of 2025. The deal enables Quest to provide testing services to independent dialysis clinics.

How many patients will Quest Diagnostics serve through the Fresenius Medical Care agreement?

Quest will provide laboratory services for approximately 200,000 patients annually through Fresenius Medical Care's U.S. dialysis centers.

When will Quest Diagnostics complete the transition of Fresenius Medical Care's laboratory services?

The transition will begin in August 2025 and is expected to be completed by early 2026.

What is the market size for dialysis services in the United States?

More than 800,000 people in the U.S. receive dialysis treatment, with approximately 35.5 million people (14% of the U.S. population) affected by chronic kidney disease.

How will Quest Diagnostics optimize its laboratory operations through this acquisition?

Quest will optimize its return on capital by performing testing during lower-volume daytime hours and utilizing multiple laboratories across the U.S. to reduce transportation time and speed up results reporting.