AdC opens in-depth investigation into merger in the medical devices market
Press Release 31/2022
December 20, 2022
The Portuguese Competition Authority (Autoridade da Concorrência – AdC) has decided to open an in-depth investigation into the merger involving the acquisition by Boston Scientific Corporation (BSC), through its subsidiary Boston Scientific Corporation Group plc., of sole control of M.I. Tech Co., Ltd. (M.I. Tech).
The decision to proceed to an in-depth investigation is grounded in the fact that, based on the evidence gathered so far, there are indications that the acquisition of M.I. Tech by BSC may give rise to significant obstructions to effective competition in the national market for metallic stents for gastrointestinal interventions.
BSC is active in the development, manufacture and sale of medical devices for interventional medical specialties, including interventional cardiology, endovascular intervention, electrophysiology, endoscopy, radiology/oncology, urology, pulmonary endoscopy and neuromodulation.
In Portugal, BSC operates through its subsidiary Boston Scientific Portugal – Departamentos Médicos, Lda., which is active in the marketing of a wide range of BSC medical devices, including devices used in endoscopy.
M.I. Tech is a South Korean company that develops, manufactures and supplies medical devices in the field of digestive endoscopy. M.I. Tech offers handmade metallic endoprostheses (also referred to as “stents”) used as a palliative solution for gastroenteric diseases caused by malignant tumors.
In Portugal, the activities of M.I. Tech are limited to providing non-vascular metallic stents for gastrointestinal interventions.
The merger will strengthen the leading position held by BSC in the market for the provision of metallic stents for gastrointestinal interventions.
The AdC decides to open an in-depth investigation into mergers when it considers additional diligence necessary. Upon the closing of the in-depth investigation, the AdC may:
- Adopt a non-opposition decision, if it considers that the merger, as notified, or following modifications by BSC (through remedies), is not likely to create significant impediments to competition in the relevant market; or
- Adopt a prohibition decision, if it considers that the merger is likely to create significant impediments to effective competition in the relevant market, thus generating damages for private and public health units which constitute the demand in this market.
For further information.