The European Commission has cleared under the EU Merger Regulation the proposed acquisition of the food ingredient activities of the Danish company Chr. Hansen, by the French independent investment company PAI Partners.
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After examining the operation, the commission concluded that the transaction would not significantly impede effective competition in the European Economic Area or any substantial part of it, the commission said.
Chr. Hansen is part of the Chr. Hansen Holding which, in addition to the food ingredient branch acquired by PAI, is also active in the production of pharmaceuticals.
The commission’s examination of the deal has confirmed that there exist no horizontal overlaps between the activities of the parties, including their subsidiaries.
The commission has focused its investigation on the limited (in number and importance) vertical relationships stemming form the deal. The most notable one is between Yoplait (controlled by PAI) and Chr. Hansen which affects the downstream market for food dairy products and the upstream market for the production of dairy cultures.
The commission has concluded that there would be no risk of any of the affected markets concerned being closed off, as there are alternative and competing sources of supply and that no concerns exist as regards the other actual and potential vertical relationships.
