EBOS Cleared To Acquire The New Zealand LifeHealthcare Business

The Commerce Commission has granted clearance to EBOS Medical Devices Australia Pty Limited (EBOS) in relation to its proposed acquisition of the New Zealand LifeHealthcare business.

Both EBOS and LifeHealthcare are distributors of medical equipment and consumables to hospitals and medical professionals. The Commission’s investigation focused on the supply of products used in spinal surgery as this is where the merging parties most closely compete.

Commission Chair Anna Rawlings said the Commission is satisfied that the acquisition is unlikely to substantially lessen competition in any New Zealand market.

“Our investigation found that EBOS and LifeHealthcare compete with several other distributors and manufacturers to supply specialist medical equipment to spinal surgeons. We consider that this competition, across the range of equipment required by surgeons for spinal surgery, will mean that the merged entity is unlikely to be able to significantly increase price or reduce quality,” says Ms Rawlings.

A public version of the written reasons for the decision will be available on the Commission’s case register in due course.

Background
EBOS distributes human healthcare and animal care products in New Zealand and Australia, including a range of surgical supplies and medical devices used in orthopaedic surgery, spinal surgery and neurosurgery.

LifeHealthcare also distributes medical devices in New Zealand and Australia, including devices used in orthopaedic surgery, spinal surgery and neurosurgery. LifeHealthcare is part of the Pacific Health Group.

The proposed acquisition we have granted clearance to is part of a wider transaction across Asia-Pacific taking place by share sale, whereby EBOS will acquire 100% of the shares in Pacific Health Supplies TopCo1 Pty Limited, the ultimate holding company of LifeHealthcare.

We will give clearance to a proposed merger if we are satisfied that the merger is unlikely to have the effect of substantially lessening competition in a market.

Further information explaining how the Commission assesses a merger application is available on our website.

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