Updates with share reaction, details of AGCM statement

MILAN, Sept 25 (Reuters) – Shares in Amplifon AMPF.MI tumbled on Monday after the Italian competition authority (AGCM) started investigatingthe domestic market for hearing aids saying pricing mechanisms did not appear to be sufficiently transparent.

Milan-listedshares in Amplifon AMPF.MI fell as much as 8.7% on the news, to stand 6.7% lower by 1150 GMT.

Amplifon does not provide a country-specific breakdown of its global sales, which totalled 2.1 billion euro last year. Italy accounts for around 17% of group sales, according to a source close to the matter.

The AGCM authority will conduct an in-depth analysis of competition in the hearing aid market, the watchdog said, citing significant impact on consumers and the national healthcare system from spending on aids.

Out of at least 7 million Italians suffering from hearing problems, around 30% use aids and the figure is set to rise in coming years as Italy’s population ages, the authority said citing data from the health ministry.

As part of the review, the Italian regulator, which did not make any specific reference to Amplifon in its statement, will gather the views of market participants.

(Reporting by Elvira Pollina and Giancarlo Navach; editing by Valentina Za)

((elvira.pollina@thomsonreuters.com;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.