Terveystalo and Diacor

The FCCA approved an acquisition in March 2017 by which Terveystalo Healthcare Oy gained control over Diacor Terveyspalvelut Oy. The FCCA decided to initiate further proceedings concerning the transaction between Terveystalo and Diacor in December 2016, as its preliminary investigations suggested that the acquisition could have adverse impacts on competition in the occupational healthcare service market in particular.

The FCCA’s further investigations demonstrated that there is relatively little overlap in the business operations of the companies due to differences in the scope of their branch networks. Terveystalo operates nationwide and its market position is the strongest, relatively speaking, in Northern and Eastern Finland. Terveystalo’s market share in the Helsinki Metropolitan Area is considerably lower than elsewhere in the country. Diacor, on the other hand, is a regional operator with branches in the Helsinki Metropolitan Area and Turku.

There would also be enough competition left in the healthcare service market even after the acquisition. The most notable competitor is Mehiläinen, which has been a considerably closer competitor with Terveystalo than Diacor, also before the acquisition. Of other competitors, Pihlajalinna has announced plans for expanding its operations substantially in the near future, and OP-Pohjola has announced plans for expanding its network of Pohjola Hospitals during the next two years.