Cade's court will analyze the acquisition of Buscopan brand products by the pharmaceutical Hypera

Cade's court will analyze the acquisition of Buscopan brand products by the pharmaceutical Hypera


The General Superintendence of the Administrative Council for Economic Defense sent the merger act for analysis by the autarchy court regarding the acquisition, by the pharmaceutical company Hypera, of the development, manufacture, marketing, distribution and sale of the Buscopan product family in Brazil - currently owned by Boehringer Ingelheim International.

According to CADE's opinion, the operation does not present competitive problems in the over-the-counter painkillers market. After analysis, it was demonstrated that the segment has important players, but none of them has a relevant dominance. Besides, the joint participation of companies that work with this type of medicine is less than 30%, and there is no significant increase in Hypera's market share in a post-operation scenario.

The Superintendence assessed, however, that the act of concentration has the potential to generate high concentration in the market of antispasmodics combined with analgesics. In this segment, Boehringer Ingelheim currently offers the drugs Buscopan Composto and Buscoduo, while Hypera operates with Neocopan Composto.

The analysis also took into account the possibility that simple antispasmodic drugs, without an active analgesic ingredient, could be close substitutes for antispasmodics combined with analgesics and, thus, built a scenario that aggregates the two types of antispasmodics. Also, in this expanded scenario, a significant market concentration was identified.

To remove the competitive concerns identified in the merger, Hypera proposed to sell the Neocopan Compound product to the company União Química. CADE already approved this transaction on June 9, 2020. The terms of the sale, however, are provided for in a Merger Control Agreement (ACC) proposed by Hypera, whose terms are confidential.

In the Superintendence's understanding, the proposed ACC is sufficient to preserve competition in the antispasmodic drug market. The case will now be evaluated by the Cade Court, responsible for the final decision.