The European Commission has partially referred the proposed merger between Danish Crown and Tican to the Danish Competition and Consumer Authority (DCCA) at its request. Both companies are Danish and are active in the operation of slaughterhouses and in meat processing. After a preliminary investigation, the Commission found that the proposed transaction would threaten to significantly affect competition in certain markets in Denmark. Those aspects will now be examined by the DCCA under national law.
At the same time, the Commission has approved under the EU Merger Regulation the proposed transaction in the other affected Member States (i.e. Poland, Sweden and the UK), concluding that the proposed transaction would not significantly impede effective competition in the European Economic Area (EEA) outside Denmark given the low market shares of the parties in these markets.
Danish Crown and Tican are both vertically integrated food companies with activities at every level within the value chain for pig meat, including pig breeding, slaughtering, meat processing and in supplying fresh pig meat. Their activities span several European countries including Denmark, Poland, Sweden and the United Kingdom.
The Commission's investigation of the merger's impact outside Denmark did not highlight any competition concerns. Therefore, the Commission cleared the transaction outside Denmark under the normal merger review procedure.
Friday July 17, 2015/ EC/ European Union.