Danish Agro to acquire Nordjysk Andel, associated companies
Final agreement contingent upon commitments to ensure competition
The Danish Competition Council has approved Danish Agro’s acquisition of Nordjysk Andel and acquisition of sole control of a number of associated companies, Scanfedt A/S, Scanola A/S, Dansk Vilomix A/S, Nordic Seed A/S, Nordic Seed International A/S, Baltic Agro Holding A/S and Dan Aller Holding A/S.
The approval is conditional upon a set of commitments ensuring competition between Danish Agro and the company’s competitors in a number of agricultural input markets. The Council found that the mergers raised competition concerns in a number of affected markets in the Danish feeding stuff sector. In particular, the Council was concerned that the mergers would lead to an increased risk of coordinated effects between Danish Agro and the only other large player in the retail market, DLG. This concern was mainly based on the high – and increasing – degree of concentration in the market and the increased symmetry between Danish Agro and DLG caused by the mergers.