Multiple other comments in here about this particular niche that the subject of the story went into (medical supplies), but what came to mind to me was a similar story about how it's a similar situation with the golf ball market [1] and from many other stories with eyeglasses (Luxottica artificially dominates the market).
These are both cases where it's not so much anti-merger/monopoly law that's the culprit, but the general structure of the legal system that favors those with the larger pockets and forces out upstart manufacturers.
1 - http://www.golfdigest.com/story/ball-wars-costco-files-lawsu...