Regulators argue that the remaining market consists of smaller providers lacking the FDA approvals, reputation, and service footprint that Surmodics and Biocoat have established. The complaint outlines several reasons why the direct competition between these companies benefits consumers and why the acquisition is considered unlawful, including: The lawsuit, filed in the Northern District of Illinois, seeks a temporary restraining order and preliminary injunction to halt the acquisition until a full administrative hearing can be conducted. Why It Matters: The lawsuit underscores the critical importance of considering antitrust laws, particularly Section 7 of the Clayton Act and Section 5 of the FTC Act, when evaluating acquisitions or mergers. While the factors that preclude business combinations are well established, companies must also assess how the transaction will impact the market more broadly, including aspects such as quality, innovation, price, competition, service, and barriers to entry.