Brussels, 30/07/2003 (Agence Europe) - Competition Commissioner Mario Monti now favours the buy-up of medical company Instrumentarium by GE, subject to certain conditions to ensure competition, reports Reuters. The conditions involve the sale of Spacelabs, a US subsidiarity of Instrumentarium selling peri-operational monitors (used by anaesthetists to monitor patients during operations) that GE has offered to dispose of. The Commission favours the sale as long as the buyer is a health company capable of posing serious competition to GE/Instrumentarium. To this end, GE is reported to have suggested that the future buyer sell peri-operational monitors designed by Instrumentarium under its own brand name for a ten year period, and other equipment designed by Instrumentarium for a five year period.
On 3 April, the European Commission launched an investigation into the deal, noting that it would mean the merger of two important competitors, each holding a significant market share for individual monitors, surgical arcs and mammography machines. The investigation had initially been due to be completed on 18 August 2003, but the parties have been given more time to collect the information needed for their negotiations with the Commission. The new deadline is 11 September.