Synlab Group

Price Pressure Afflicts German Laboratories

Synlab Source Annette Zoepf
Synlab operates in a highly competitive environment.
  • Why it matters

    Why it matters

    Germany-based laboratory service provider Synlab is positioning itself for growth by expanding abroad and pushing research in the emerging market of genetic testing.

  • Facts

    Facts

    • The laboratory service sector in Germany is under extreme price pressure.
    • The Synlab Group has 175 facilities in more than 20 countries and is one of Europe’s leading lab service providers.
    • The company was formed in 2009 by the merger of three laboratory chains; its majority owner is BC Partners investment company.
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  • Audio

    Audio

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Bartl Wimmer, chief executive of  the Germany-based lab service provider Synlab, believes that genetic testing is going to be the next big thing in laboratory diagnostics. To get ahead of the field, the Synlab Group has already bought and built genetic diagnostic facilities all over the country, including the Center for Human Genetics in the southwestern city of Mannheim.

Mr. Wimmer, himself a doctor, sees particularly high growth potential in the area of cancer diagnosis. More and more cancer drugs are coming on the market that are adapted to the molecular properties of individual tumors. Companion diagnostics – the tailoring of diagnosis and treatment based on a person’s individual genetic content – is going to be the field to watch.

At the moment, statutory health insurance is not quite as forward-thinking as Mr. Wimmer and remimbursement for genetic testing not guaranteed. “We have been forced to offer services in advance if we don’t want to miss out on the trend,” said Mr. Wimmer.

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