License application Zeeland hospitals withdrawn

The Netherlands Competition Authority (NMa) has taken note of the decision of two hospitals in the province of Zeeland to withdraw their application for a merger license. The NMa had planned to draw up a decision on the application submitted by the Ziekenhuis Walcheren and the Oosterscheldeziekenhuizen today.

Previously, the NMa established after an initial investigation that the merger of the hospitals could lead to the emergence or strengthening of a dominant position in the markets for clinical and non-clinical general hospital care. This might restrict competition.

The NMa investigation focused on the threat of restricted competition, and related restrictions to consumer choice in Midden-Zeeland. In its investigation the NMa also addressed the question whether the merger would yield advantages outweighing the possible disadvantages of the merger.

Since 2004 the NMa has drawn up decisions in 41 cases involving merger assessments in health care. These concerned 29 cases relating to health care subject to the Exceptional Medical Expenses Act [AWBZ], 8 cases relating to health insurance and 4 cases involving hospitals. In 4 health care cases the objections put forward by the NMa were removed as a result of conditions imposed.