Netcare to acquire Akeso Clinics in R1.3 billion deal

SA's third-largest private hospital chain has made a R1.3 billion acquisition of Akeso Clinics.

The Competition Commission has approved Netcare’s acquisition of Akeso Clinics, a chain of psychiatric health facilities. Netcare, South Africa’s third-largest private hospital chain, announced the R1.3-billion acquisition of Akeso in 2016.

According to Reuters, the Commission initially recommended that the takeover be blocked, as it was deemed likely to cause a substantial lessening of competition. However, according to the Competition Tribunal, Netcare has agreed to sell its Rand and Bell Street hospitals, both of which have psychiatric beds, and said it will maintain a range of prices at Akeso clinics.

In light of this, the deal was conditionally approved by the Tribunal.

Pictured: Dr Richard Friedland, CEO of f Netcare Limited