EC unconditionally clears CVC’s acquisition of Ethniki

On 23 February 2022, the European Commission unconditionally cleared the acquisition of Ethniki Hellenic General Insurance Company S.A. (‘Ethniki’) of Greece by CVC Capital Partners SICAV FIS S.A. (‘CVC’) of Luxemburg. Ethniki offers life and non-life insurance services, insurance distribution and reinsurance services in Cyprus, Greece and Romania. CVC and its subsidiaries manage investment funds and platforms, and control a number of companies, including the Hellenic Healthcare Group (‘HHG’), which offers private hospital services in Cyprus and Greece.

The Commission investigated whether the transaction would lead to the marginalisation or exclusion of rival insurers and rival hospital groups as a result of the vertical link between Ethniki’s health insurance services and HHG’s general hospital services in the Attica region, following complaints by market participants. The Commission concluded that Ethniki would not have enough market power to foreclose HHG’s rival hospitals, and that HHG would not have the financial incentives to foreclose Ethniki’s rival insurers.

A CRA team including Diana Jackson, Elina Koustoumpardi, Chara Tzanetaki, Uğur Akgün and Valter Sorana advised CVC, including by contributing economic analysis that helped the Parties to address vertical concerns raised by complainants.

The Commission’s press release can be found here.