ACL Acquisition of Healius – ACCC Inquiry
The Australian pathology industry is dominated by four large companies. When measured using the number of Approved Collection Centres (ACCs) as a measure of market share three companies dominate the industry: Healius, Sonic and ACL have approximately 80% of the ACCs.
When the smaller share held by 4Cyte is added, the proportion of the market held by these four companies rises to over 90%.
On 23 March 2023 Australian Clinical Labs Ltd (ACL) made an off-market takeover offer for Healius Ltd offering 0.74 ACL shares for every Healius share. The offer period expires 29 September 2023.
For those General Practices with ACCs the maintenance of a competitive market for lease space in Practices is critical. Without a competitive market rents could be expected to decline over time, and the use of tenders processes or other arms-length negotiations to establish a market rent would become very difficult.