The acquisition of certain assets relating to the medical alarm and monitoring business by The Priory in New Zealand of the Most Venerable Order of the Hospital of St John of Jerusalem (St John) from Electra Services Limited, which trades as Securely, has been granted clearance by the Commerce Commission.
This includes the lone worker and duress alarm monitoring and does not include Securely’s property security alarms used for government, commercial and residential purposes.
The Commission conducted a thorough investigation to assess the potential impact of the proposed acquisition on competition in national markets for medical alarm and monitoring services, self-funded private users and commercial customers.
The Commission is satisfied that the acquisition is unlikely to lessen competition in any New Zealand market substantially.
“Our investigation indicated that in all of the affected markets, St John and Securely are not each other’s closest competitor and the merged entity is likely to continue to face competitive constraints from other medical alarm providers,” said Division Chair Anne Callinan.
“Our investigation revealed that these competitors offer products of comparable levels of quality and service in the MSD-funded market and can expand.”
It was also considered that MSD has some ability to achieve competitive outcomes through its tender design process and encourage customers to shop around to make sure they are getting the best deal.
In due course, a public version of the written reasons for the decision will be available on the Commission’s case register.
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