After intensive examination the Bundeskartellamt has cleared the acquisition of the blood donor service of Charité – Universitätsmedizin Berlin by Zentrum für Transfusionsmedizin und Zelltherapie Berlin gemeinnützige GmbH, a joint venture of Charité and DRK-Blutspendedienst Nord-Ost gGmbH. DRK-Blutspendedienst Nord-Ost gGmbH is a 100% owned subsidiary of DRK-Blutspendedienst Baden-Württemberg – Hessen gGmbH, the German Red Cross blood donation service with the widest coverage within Germany. The companies are planning for the joint venture to receive blood donations and produce and distribute blood products in future primarily for Charité.

Andreas Mundt, President of the Bundeskartellamt: "On the concentrated market for blood products there are only a few suppliers besides the parties to the merger. These are in particular the DRK blood donation services which are present nationwide. In the Berlin area DRK-Blutspendedienst Nord-Ost, a party to the merger, has a dominant position in some segments.The project was therefore very carefully examined by the Bundeskartellamt with regard to the reach of the geographic markets and the increasing concentration in this sector. Ultimately, however, the merger did not raise any competition concerns."

The Bundeskartellamt's investigations have shown that a distinction has to be made in the blood products between the products erythrocyte concentrate, thrombocyte concentrate and plasma for clinical application. In the case of erythrocyte concentrate, a distinction has to made on the other hand between out-patient and in-patient applications because of the different distribution and price structure.

The merger could be cleared because it will not lead to a significant impediment of effective competition in the Berlin area. Although DRK-Blutspendedienst Nord Ost has a market share of more than 80% in the sale of erythrocyte concentrate in the Berlin and Brandenburg area, its dominant position will not be strengthened as a result of the merger with Charité's blood donation service. As before the merger, Charité's blood donation service will continue to supply Charité primarily. Charité's own production does not fully cover the hospital's total requirements for the above products. It will therefore remain a buyer of erythrocyte concentrate and issue respective invitations to tender in which third suppliers will also have a chance to supply. As previously, the blood products produced by Charité`s blood donation service will be delivered to other hospitals and customers as part of the statutory emergency services.
The other markets for thrombocyte concentrate and plasma for clinical application in Berlin and Brandenburg are so-called de-minimis markets within the meaning of § 36 (1) sentence 2 no. 2 of the German Competition Act (GWB) with a turnover of less than 15 million euros last year. Under the GWB a prohibition of mergers on de-minimis markets is not possible.

Blood products are medical products (Section 4 (2) of the Medicinal Products Act). Customers, such as hospitals and general practicioners, satisfy their demand primarily from DRK suppliers in their respective federal state. Blood donation services in Germany are currently in a phase of transition. This sector has been characterised up to now by a three pillar model. According to figures published by the Paul Ehrlich Institute for 2014, approx. 70% of the classical "blood conserves", erythrocyte concentrates, are produced by the DRK blood donation services, approx. 21% by state and municipal services and approx. 9% by private companies. The prices for blood products vary from one supplier to another and from region to region in Germany. It is difficult to foresee whether the three pillar model, which is welcome from a competition policy perspective, will continue in future. According to public statements, some municipal blood donation services have financial problems, which puts their maintenance in the current form in question. It can also be observed that joint ventures are being increasingly established with the participation of several DRK blood donation services and university institutions. In the case of mergers which have to be notified under merger control, market changes can only be examined to establish whether effective competition is impeded on the regional markets affected. In the case at hand the merger does not fulfil the requirements for prohibition.

Further information can be found in the decision, which can be downloaded from the Bundeskartellamt's website (German version).