/ 11 March 2008

Netcare disappointed with tribunal ruling

After the Competition Tribunal on Monday rejected an application to confirm a settlement agreement between the Competition Commission and Netcare Hospital Group, Netcare said in a statement on Tuesday it was disappointed with the decision of the tribunal not to sanction the consent order.

After the Competition Tribunal on Monday rejected an application to confirm a settlement agreement between the Competition Commission and Netcare Hospital Group, Netcare said in a statement on Tuesday it was disappointed with the decision of the tribunal not to sanction the consent order.

It added that it would be seeking to engage “constructively” with the competition authorities in order to reach a satisfactory resolution of this issue.

“It is Netcare’s view that the proposed consent order is a fair resolution of the historical events which ultimately led to the Competition Tribunal approving unconditionally Netcare’s acquisition of the entire issued share capital of Community Hospital Group [CHG] late last year.

“In coming to this decision, the tribunal concluded that Netcare’s acquisition of control over CHG would not lead to a substantial prevention or lessening of competition in any relevant market,” it added.

Netcare says it is currently studying the tribunal’s decision. — I-Net Bridge