The United Kingdom Competition & Markets Authority (CMA) issued a statement of concern over the impact of the purchase of Wright Medical (NSDQ:WMGI) by Stryker (NYSE:SYK).
CMA believes that, should the $4.7 billion acquisition go through, it would have a “negative impact on vulnerable patients in the U.K. who need ankle replacements,” according to a news release.
After a Phase 1 investigation, the CMA observed that the purchase would result in the merged entity obtaining a share of over 90% in the total ankle replacement prostheses market in the U.K., leading to concerns over a lack of competition from other suppliers and potentially higher prices or fewer choices for hospitals and their patients.
CMA launched a probe into the acquisition in May, saying it will decide by July 15, 2020,if it will launch the second phase of its investigation. It now says Stryker and Wright have until July 7 to address its concerns through the offer of under…