The Australian Competition and Consumer Commission (ACCC) has given its OK for Primary's proposed $2.65 billion takeover bid for healthcare company Symbion Health
The consumer watchdog announced today that it has conducted an informal review of the proposed acquisition.
"The ACCC has considered the information provided during its market inquiries and other relevant information," the ACCC said in a statement.
"Based on that information, the ACCC does not propose to intervene in the matter pursuant to section 50 of the Trade Practices Act 1974."
This move comes after the Symbion board yesterday reiterated its recommendation that shareholders reject Primary's offer of $4.10 per Symbion share.
The offer was seen as too low and did not sufficiently recognise the strategic value of Symbion's assets to Primary.
Symbion said in its target's statement that Primary was not paying enough for the strategic value, savings and benefits that Symbion's diagnostics businesses could deliver.
The healthcare company said that Primary was offering $4.10 per Symbion share when it had paid up to an equivalent of $4.18 per share on-market.
Primary failed to get enough acceptances for its $2.65 billion offer, which closed on Monday, to declare it unconditional, however the offer remains open until January 7.
In the meantime, Primary also announced today that it has increased its total interest in Symbion from 32.93% to 33.23%.
Primary's own stake in Symbion has also lifted from 20.26% to 20.40%.
Primary, which is Symbion's largest shareholder, is vying with private healthcare operator Healthscope for control of Symbion's diagnostics businesses.
Healthscope has managed to acquire a stake of 11.91% in Symbion, which has allowed it to play a role in determining the future of the company.
Healthscope said on Monday that its options could include a takeover bid of its own for Symbion.
Healthscope has already made two unsuccessful attempts to acquire Symbion's diagnostic assets.
Symbion shares rose by 3 cents to close the day at $4.07 and Primary recovered from a loss of 20 cents to close up at $12.19, a gain of 9 cents.
Healthscope eased one cent to $5.40.
