US-based clinical laboratory Quest Diagnostics and Corewell Health, a non-profit healthcare system, have formed a joint venture to enhance laboratory services in Michigan.
The joint venture, dubbed Diagnostic Lab of Michigan, will be based in a 100,000ft2 laboratory facility at Corewell Health Southfield Centre in Michigan.
The site will feature automated microbiology and “high-throughput” molecular testing technologies.
Quest will offer its Collaborative Lab Solutions (Co-Lab) to manage laboratory operations for Corewell Health’s 21 hospitals across Michigan.
The Co-Lab solutions include reference laboratory testing, laboratory management services, laboratory workforce and supply chain management, and analytics.
The hospital labs will remain operational until the new facility is ready.
Quest Diagnostics CEO, president and chairman Jim Davis said: “This joint venture combines Corewell Health’s first-rate academic expertise and deep ties to Michigan with Quest’s leadership in scaling diagnostic innovation to improve access, affordability and patient care.
“It also advances Quest’s strategy to expand in growth areas through collaborations with top health systems, building on our many successful laboratory joint ventures in other parts of the U.S.”
Quest will hold 51% equity ownership in the joint venture, and Corewell Health 49%.
Both parties plan to sign supply chain and reference agreements later this year, with most aspects of the laboratory services agreement due to start in 2026.
The new laboratory is expected to be operational in the first quarter of 2027.
Corewell and Quest will continue to serve patients from existing locations until the new lab becomes operational.
Corewell Health chief operating officer Chad Tuttle said: “We are thrilled to collaborate with Quest Diagnostics, a leader in diagnostic lab services.
“Quest has a proven track record of delivering innovative and high-quality diagnostic services that put patients first. This new joint venture will support our ongoing efforts to make health care more affordable and accessible.”
Earlier this year, Quest launched a new human papillomavirus (HPV) screening solution, designed to help women identify their risk of cervical cancer.
The new offering includes a self-collection option, allowing patients to collect their own specimens for HPV screening in clinical settings.