EC approves $24 billion merger

The

has approved under the EU Merger Regulation the planned $24 billion (around € 18 billion) acquisition by

healthcare group

(J&J) of its competitor

, a

company specialised in cardiovascular medical products, subject to conditions.

In particular the parties must divest either J&J or Guidant Endoscopic Vessel Harvesting products (EVH), plus Guidant’s EEA endovascular business and J&J’s EEA Steerable Guidewires business.

In light of the commitments given by J&J, the Commission has concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or a significant part of it.

Competition Commissioner Neelie Kroes said “I wanted to ensure that consumers would not have to pay higher prices for the life-saving medical devices produced by these two companies and that any changes to the competitive structure in these markets would not be to the detriment of consumer welfare. I am therefore satisfied that the commitments given by J&J allow the Commission to approve this merger”.