HEALTH CARE
Hospital merger led by Beth Israel Deaconess, Lahey wins key state approval
A sprawling merger of 13 hospitals aimed at creating a potent competitor to Partners HealthCare has cleared a key hurdle, with Massachusetts health officials saying the deal is likely to improve patient care. Led by Beth Israel Deaconess Medical Center and Lahey Health, the hospitals say that by joining forces they can provide high-quality care to patients across Eastern Massachusetts at a lower cost than does Partners, the state’s largest health care network. Beth Israel Deaconess and Lahey announced their merger plans in early 2017, after years of on-again, off-again talks. The deal grew to encompass New England Baptist Hospital in Boston, Mount Auburn Hospital in Cambridge, and Anna Jaques Hospital in Newburyport, and includes about 4,300 physicians. Partners owns Massachusetts General Hospital, Brigham and Women’s Hospital, and nine other hospitals, and has about 6,000 doctors. The recommendation to approve the merger came in a report Monday from staff at the state Department of Public Health. The endorsement carries significant weight, but the deal still needs approval from the Public Health Council, a voting body chaired by Governor Charlie Baker’s public health commissioner. It’s set to consider the deal in April. The council generally follows staff recommendations. The approval process is expected to continue for months, as Attorney General Maura Healey reviews the deal and the state Health Policy Commission, a watchdog agency, studies its effect on health care costs. The Beth Israel Deaconess system includes a large teaching hospital in Boston and community hospitals in Milton, Needham, and Plymouth. The Lahey system, based in Burlington, includes several community hospitals north of Boston. New England Baptist is a destination for orthopedic surgery. These hospitals, along with Mount Auburn, Anna Jaques, and their outpatient clinics, reported treating more than 1.2 million patients last year. — PRIYANKA DAYAL MCCLUSKEY
DEVELOPMENT
Verizon to lease space, bring hundreds of digitial media jobs to North Station area
Another week, another major company planning a significant expansion in Boston. Verizon is negotiating a lease that could bring hundreds of digital media jobs to the city and spark construction of a 24-story office tower atop North Station, according to people in the real estate industry with knowledge of the plans. The telecommunications giant and Boston Properties, which is developing the tower as part of its The Hub on Causeway project next to TD Garden, declined to comment. But the people familiar with the deal said Verizon is considering a lease for at least 300,000 square feet, enough to house hundreds — or even thousands — of employees of its Oath digital-publishing subsidiary. The potential deal was first reported by the real estate trade publication Banker & Tradesman. Should Verizon move forward, it would be the latest in a string of huge companies — most of them tech-focused— to expand in Boston and Cambridge in recent months.Akamai Technologies is at work on a 19-story headquarters in Kendall Square, while Philips recently announced plans for a 2,000-person office at the nearby Cambridge Crossing development. Online retailer Wayfair and fantasy sports site DraftKings are planning expansions in the Back Bay. And just last week, Amazon signaled it plans to add as many as 4,000 workers in two new buildings in the Seaport District — even as it continues to study Boston as a potential site for its so-called second headquarters. — TIM LOGAN
RETAIL
Iconic Zareh menswear store to remain open, with 81-year-old at its helm
As it turns out, Greg Thomajan isn’t quite ready to call it quits. When the 81-year-old haberdasher and proprietor of the Zareh menswear store announced in September that he was retiring, the faint sound of sobbing could be heard from corner offices throughout the Financial District. Thomajan had been at the helm of the 84-year-old store for 58 years, selling spendy suits to a client list most stores would covet. But Thomajan has now put the power brokers at ease, saying both he and the store will remain in their One Liberty Square location, albeit under new ownership. On Thursday, the store was acquired by Giblees, the 74-year-old high-end menswear shop in Danvers. It will operate under the name Zareh by Giblees. Thomajan, his tailor, and Skipper, his golden retriever, will continue to hold court in the store, though Thomajan says he’ll pare back his hours from 40 to just 25 a week. Alan Gibeley, the third-generation owner of Giblees, said he plans to keep the Oxxford and Hickey Freeman suits that Thomajan has long stocked, while adding suits at lower price points that will attract a younger, up-and-coming clientele. Gibeley said he’s honored to work alongside Thomajan, as his own father, Robert Gibeley, holds a similar work ethic and continues to come to the Danvers store most days at the age of 84. — JANELLE NANOS
MEDICAL DEVICES
Abiomed to pay $3.1 million for violating anti-kickback statute
A Danvers medical device company has agreed to pay $3.1 million to the federal government to settle allegations that sales representatives violated an anti-kickback statute to get doctors and nurses to use the firm’s heart pumps on Medicare patients. The alleged kickbacks by Abiomed Inc. consisted of lavish meals, with plenty of alcohol, at some of the country’s swankiest restaurants, including Menton in Boston, Spago in Beverly Hills, Nobu in Los Angeles, and Eleven Madison Park in Manhattan, according to federal prosecutors. On one occasion, Abiomed picked up the check for a meal that would have cost each guest more than $450 — far more than the company’s own guideline of no more than $150 a guest. Abiomed managers reimbursed sales representatives even though the guests had included doctors’ spouses and there was “little to no scientific discussion,’’ according to the settlement agreement signed by the company and prosecutors in the office of US Attorney Andrew E. Lelling. In some cases, the sales representatives padded the number of attendees to reduce the charge per person and made little effort to conceal that names were bogus. One one occasion, a diner was identified as Mike Anesthesia. — JONATHAN SALTZMAN
BIKE SHARING
Hubway getting a makeover
Hubway is rolling out a new name and a new look. The bike program in Boston, Cambridge, Somerville, and Brookline will soon become Blue Bikes, according to Motivate International Inc., the company that operates the system. The makeover is part of a new six-year partnership with Blue Cross Blue Shield of Massachusetts that was announced Wednesday. According to details of the partnership, the system will be beefed up in the coming years, with over 1,000 additional bikes and 100 new stations in the four municipalities set to hit the streets by 2019. While riders can expect some visual changes and an expanded network, the way the system works will remain the same, the company said. Annual memberships in the bike system cost $99. Users can also buy a 24-hour pass for $8 or a 72-hour pass for $15. — STEVE ANNEAR
