Corewell Health, Quest Diagnostics Complete Michigan Laboratory Joint Venture

The venture is designed to consolidate laboratory operations and expand access to laboratory services across the state.

Corewell Health and Quest Diagnostics have completed a previously announced transaction to establish a laboratory services joint venture in Michigan, the companies said on January 5.

The venture is designed to consolidate laboratory operations and expand access to laboratory services across the state.

The joint venture, named Diagnostic Lab of Michigan, LLC, will be owned 51% by Quest Diagnostics and 49% by Corewell Health. Under the agreement, the existing laboratory operations of both organizations will continue to provide services to the joint venture in the near term.

A new centralized laboratory facility is planned as part of the initiative. The companies said a 100,000-square-foot laboratory will be developed at the Corewell Health Southfield Center in Southfield, Michigan. The facility is expected to become operational in the first quarter of 2027.

In parallel with the formation of the joint venture, Quest Diagnostics has begun providing its Collaborative Lab Solutions (Co-Lab) hospital laboratory management services across all 21 Corewell Health hospitals. These services are now in effect system-wide, according to the announcement.

Quest said the Co-Lab platform being implemented for Corewell Health includes a range of operational and clinical initiatives. These cover supply chain support, laboratory management services, patient blood and anemia management, and laboratory analytics and stewardship, along with reference testing capabilities.

The companies stated that the deployment of these services is intended to support standardized laboratory operations across Corewell Health’s hospital network while integrating Quest’s lab management infrastructure. The services are being introduced ahead of the opening of the new centralized laboratory facility.

Corewell Health operates hospitals and care sites across Michigan, while Quest Diagnostics provides diagnostic information services through a national network of laboratories. The joint venture represents a formal integration of laboratory assets and services between the two organizations within the state.

The transaction was previously announced and has now reached completion, marking the operational start of the joint venture and the system-wide rollout of Quest’s hospital laboratory management services within Corewell Health.

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