Decision Nº M/03/042 from Competition and Consumer Protection Commission, 2004-01-22

• Jurisdiction: Ireland
• Parties: i-STAT,Abbott Laboratories
• Date: 22 January 2004
• Decision Number: M/03/042
• Status: Cleared (Phase 1)
• Court: Competition and Consumer Protection Commission (Ireland)
• Decision Date: 22 January 2004

Determination of the Competition Authority

Determination No. M/03/042 of the Competition Authority, dated 22nd January

2004 , under Section 21 of the Competition Act, 2002

Notification No. M/03/042 – Proposed acquisition by Abbott Laboratories of i-

STAT Corporation.

Introduction

1. On 22nd December 2003 the Competition Authority, in accordance with Section

18 (1) of the Competition Act, 2002 (“the Act”) was notified, on a mandatory

basis, of a proposal whereby Abbott Laboratories (Abbott), through its wholly-

owned subsidiary Senator Acquisition Corporation, would acquire those

remaining shares of i-STAT Corporation (i-STAT) which it does not currently

hold.

The Parties

2. Abbott is a US-registered multinational corporation which is engaged in the

discovery, development, manufacture and sale of a broad and diversified line of

health care products and services. In Ireland, Abbott sells pharmaceutical

products, medical hospital products, medical diagnostics and medical nutritionals.

3. i-STAT is also a US registered corporation which develops, manufactures and

markets medical diagnostic products for blood analysis. i-STAT’s sales into

Ireland for 2002 amounted to €[ ] approximately.

Analysis

4. Both parties manufacture medical diagnostic products that are used at the point of

care (POC), i.e. outside the physical facilities of clinical laboratories. Abbott

distributes i-STAT’s Irish products and has exclusive global distribution rights to

the vast majority of i-STAT’s products. Abbott estimates its share of the POC

sector in Ireland (including its distribution of i-STAT products) is [0-5]%. There

are a number of other competitors, one of which has over 60% share of the point

of care sector in Ireland. Given the competitive constraints and small market

share, the transaction does not give rise to concerns.

Determination

The Competition Authority, in accordance with Section 21(2) of the Competition Act,

2002, has determined that, in its opinion, the result of the proposed acquisition will

not be to substantially lessen competition in markets for goods and services in the

State and, accordingly, that the acquisition may be put into effect.

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