Brussels, 8 August 2012
Mergers: Commission approves acquisition of medical device company BSN Medical by Guernsey based investment fund EQT VI.
The European Commission has cleared under the EU Merger Regulation the proposed acquisition of the Dutch and German medical device company BSN Medical by the Guernsey based investment fund EQT VI, part of the EQT group of private equity funds. The Commission's investigation confirmed that the operation would not raise competition concerns because the parties have no overlapping activities.
The Commission's investigation showed that no horizontal overlaps arise from the transaction, since neither EQT VI nor any company that EQT controls are active in the same field as BSN Medical.
The Commission also analysed potential vertical effects that might arise from the transaction, since one of the EQT funds, EQT Expansion Capital II, jointly controls a wholesale distributor of medical supplies, Roeser Medical, which also distributes the type of products manufactured by BSN Medical. However, given the limited market shares of Roeser Medical and BSN Medical and the existence of a number of strong competitors, the merged entity would have neither the incentives nor the ability to shut out customers or competitors.
The Commission therefore concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it.
The transaction was notified to the Commission on 9 July 2012.
Companies and products
EQT VI is an investment fund making investments primarily in Northern Europe. It is part of the EQT group of private equity funds, which are managed independently and on their merits and are not, even within each respective fund, financially or operationally consolidated.
BSN Medical is a medical device company that develops, manufactures and markets wound care, compression therapy and orthopaedics products.
Merger control rules and procedures
The Commission has the duty to assess mergers and acquisitions involving companies with a turnover above certain thresholds (see Article 1 of the Merger Regulation) and to prevent concentrations that would significantly impede effective competition in the EEA or any substantial part of it.
The vast majority of mergers do not pose competition problems and are cleared after a routine review. From the moment a transaction is notified, the Commission generally has a total of 25 working days to decide whether to grant approval (Phase I) or to start an in-depth investigation (Phase II).
A non-confidential version of today's decision will be available at:
Antoine Colombani (+32 2 297 45 13)
Maria Madrid Pina (+32 2 295 45 30)