A PYMNTS Company

South Africa: Green light for proposed Mediclinic mega-merger

By  |  January 27, 2016

Competition Commission spokesperson Itumeleng Lesofe said that the transaction raised neither “competition nor public interest concerns”.

“There’s no geographical overlap in the activities of the merging parties, since Al Noor does not have a presence in South Africa,” Lesofe said.

Stellenbosch-based Mediclinic listed its proposal to merge with Al Noor Hospitals Group in its 2015 annual report.

Mediclinic was seeking to expand in countries where rising household incomes have led to a growing demand for private healthcare, according to a Bloomberg report.

“A combination with Al Noor would boost its operations in the United Arab Emirates, while it also owns hospitals in southern Africa and Switzerland,” the report said.

Al Noor operates three hospitals, 17 medical centres and clinics, and is primarily located in Abu Dhabi in the United Arab Emirates.

At the time, Al Noor CEO Ronald Lavater said there was a “compelling, strategic fit” with Mediclinic.

Full content: Reuters

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.