EUROPEAN COMMISSION - PRESS RELEASE
Mergers: Commission approves acquisition of
Phadia by Thermo Fisher
Brussels, 19 August - The European Commission has cleared under the EU Merger
Regulation the proposed acquisition of CB Diagnostics Holding AB, the holding
company of Phadia Holding AB ("Phadia", Sweden), by Thermo Fisher Scientific
Inc. (“Thermo Fisher”, US). The Commission concluded that the transaction would
not raise competition concerns, because the parties are not close competitors and
the merged entity would be constrained by sufficient number of third party
competitors active in in vitro autoimmune diseases diagnostics.
The Commission examined the transaction's impact on the in vitro
immunochemistry diagnostics sector, and in particular in the supply of in vitro
autoimmune diseases assays, including thyroid autoimmune disease assays,
where both parties are active. The transaction leads to relatively high market shares
in several number of Member States within autoimmune disease testing
considering either (i) the overall category of autoimmune disease testing; and/or (ii)
thyroid autoimmune disease testing; and/or (iii) individual thyroid autoimmune
assays. However, after investigating the proposed transaction, the Commission
determined that the parties are not close competitors and are currently primarily
constrained by other competitors, which would continue to constrain the merged
entity.
The Commission also analysed the vertically affected markets arising due to
Thermo Fisher's position upstream in the markets for supply of certain raw
materials and contract manufacturing services, and concluded that the merged
entity is unlikely to foreclose access to inputs and raise downstream output prices,
as there are alternative upstream suppliers, sufficient number of downstream
competitors and insufficient incentives for the merged entity to foreclose inputs.
The Commission, therefore, concluded that the transaction would not significantly
impede effective competition in the European Economic Area (EEA)1 or any
substantial part of it.
The operation was notified to the Commission on 12 July 2011.
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The EU plus Iceland, Liechtenstein and Norway.
IP/11/971
Companies and products
Thermo Fisher is a US-based company offering a wide range of laboratory and life
science instruments and related products and services, including in vitro
diagnostics systems. Phadia is active in vitro allergy testing and autoimmunity
diagnostic testing.
The parties activities are mainly complementary in nature, although both parties
offer products for thyroid autoimmune disease testing.
Merger control rules and procedures
The Commission, in 1989, was given the power to assess mergers and acquisitions
involving companies with a turnover above certain thresholds (see Art 1 of the
Merger Regulation). Its duty is to prevent concentrations that would significantly
impede effective competition in the EEA or any substantial part of it.
The Commission clears the vast majority of mergers without conditions and only
accepts remedies or prohibits mergers when the notified transaction would lead to a
significant impediment to competition and make consumers worse off.
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 indepth investigation (Phase II).
EU merger clearance does not prejudge the result of other possible probes under
State aid or antitrust rules.
A non-confidential version of today's decision will be available at:
http://ec.europa.eu/competition/elojade/isef/case_details.cfm?proc_code=2_M_6293
Contacts :
Amelia Torres (+32 2 295 46 29)
Marisa Gonzalez Iglesias (+32 2 295 19 25)
Maria Madrid Pina (+32 2 295 4530)
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