⁍ The probe focuses on an acquisition when Covidien Plc bought a small manufacturer of ventilator systems Newport Medical Instruments in 2012.
⁍ Medtronic has ramped up production of ventilators and partnered with Foxconn in June to increase production of ventilators critical in the care of COVID-19 patients.
– The US Justice Department is investigating whether Medtronic’s 2015 acquisition of Covidien hindered competition in the manufacturing of ventilators, the Wall Street Journal reports. The investigation focuses on a 2012 acquisition by Covidien of Newport Medical Instruments, a small manufacturer of ventilator systems. Covidien was bought by Medtronic in 2015. The investigation revolves around the sale of the Newport ventilators to Covidien. Medtronic says it is cooperating fully with the DOJ’s review of the deal, which was approved by the Federal Trade Commission in 2012. Reuters quotes a spokesperson for Medtronic as saying that rather than discontinue the Newport family of ventilators, Medtronic continues to market them.
Source: https://www.reuters.com/article/us-medtronic-ventilators/medtronic-under-justice-department-probe-over-ventilator-competition-wsj-idUSKBN26L3S1