• The President of UOKiK Tomasz Chróstny has issued objections concerning takeover of Lecznice Citomed in Toruń by Lux Med.
• The transaction may lead to a restriction of competition on the local markets for private medical services and diagnostic imaging services in Toruń and the surrounding area.
• The objections shall not prejudge the final decision in this case.

The object of the consolidation is the take-over of control over Lecznice Citomed in Toruń by Lux Med. Both entrepreneurs operate in the health care industry, providing public and commercial services. Lux Med has various medical facilities across Poland, while Lecznice Citomed has 5 outpatient clinics and one hospital in Toruń.

In this case, it was necessary to conduct a market survey of medical services in Toruń and its surroundings and verify the data presented by the acquiring company in its application for authorisation of the transaction. Their main conclusion is that consolidation will lead to a significant restriction of competition on the Toruń market for private medical services and diagnostic imaging services, and therefore the President of UOKiK has expressed his reservations in this case.

- The participants to the consolidation are close competitors to each other. According to our analyses, the planned consolidation may lead to the strengthening of Lux Med's position on the local markets for private medical services and diagnostic imaging services in Toruń and the surrounding area. In each of these markets, Lux Med's second largest competitor would hold a significantly lower number of shares than the consolidated entity. With such a strong position, competitors could be eliminated from the market in the future, which for consumers could mean no choice of other facilities, higher prices for medical examinations or doctor appointments, as well as a lower quality of services - says Tomasz Chróstny, the President of UOKiK.

Objections to concentration

In cases where there is a reasonable likelihood that competition will be significantly restricted as a result of company concentration, the President of the Office presents his objections concerning the planned transaction to the entrepreneur or entrepreneurs participating in the concentration. The objections shall contain a statement of reasons and shall not prejudge the final decision in the proceedings.

In accordance with the provisions, entrepreneurs shall have 14 days to respond to the objections. Upon their request, the deadline may be extended by another two weeks.

Additional information for the media:

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