Thursday, 13 January 2011 00:00

Decision 513/2011

Decision on prior notification, dating from 8.10.2010, concerning the acquisition by the company “ELAIS UNILEVER HELLAS S.A” of the trade, distribution and marketing of the ice-cream sector of the company “EVGA ABEE”, pursuant to article 4b of former L. 703/77, as in force.

Decision 513/2011
File (PDF) Decision 513/2011
Date of Issuance of Decision

January 13th, 2011 

Government Gazette Issue No
Relevant Market

Trade, Distribution and Marketing of Ice-Cream

Subject of the Decision

Merger

Legal Framework

Article 4d par.8 of L. 703/1977

Operative part of the Decision

Clearance under conditions

Acquiring company(ies)

ELAIS UNILEVER HELLAS S.A

Target company(ies)

EVGA ABEE

Summary of Decision

The companies “ELAIS UNILEVER HELLAS S.A” and “EVGA ABEE” notified HCC in due time, in accordance with article 4b of law 703/1977, as in force, the acquisition by ELAIS UNILEVER of specific assets of EVGA and in particular those concerning the sector of trade, distribution and marketing of ice-cream. The above notified acquisition by ELAIS UNILEVER of all the assets of EVGA, pursuant to two contracts dated 27.9.2010, for the sale and transfer of assets, on the one hand, and intellectual and industrial property rights, on the other, directly or indirectly related to the trade, distribution and marketing of ice cream of EVGA, refers to the acquisition by ELAIS UNILEVER of exclusive control over EVGA.

ELAIS UNILEVER is active in the production and trade of detergents, cosmetics and food and in general the production and trade of consumer goods. The main areas of activity of EVGA are the production and marketing of standardized and served ice cream, juices, croissants, as well as frozen pastries and sweets.

As relevant markets of the case under question were considered the following:

  1. standard impulse ice cream,
  2. family ice cream / take home,
  3. professional ice cream (catering or bulk) and
  4. production of private label or ice cream for third parties.

The HCC recognized the existence of substitution on the consumer's side, between branded and private-label ice-creams, and took it into account in the calculation of the market shares. As geographic market, the Greek territory was considered, where the network and the activity of the parties extends, and where the parties face competition from other companies operating in the production/trade of ice-cream, under uniform conditions, given that the preferences of Greek consumers in ice-cream are different from those of consumers in other EU countries.

The HCC, following the examination and assessment of all the evidence in the case file related to the structure and operation of the relevant product and services’ market, the geographical market, the market shares of the parties and their economic power, as well as the fact that in the first three from the above product categories, the concentration would lead to total market shares in those markets of at least 15%, decided the clearance of the merger, under the following terms and conditions (remedies), pursuant to article 4d par.8 of former law 703/1977, in order to ensure compliance with the commitments/ modifications that were proposed by the parties:

  1. To modify in such a way the cooperation (distribution) andleasing of refrigerators agreements of the acquiring company which will be transferred to the new entity, so as to remove any exclusivity clauses in them.
  2. To reduce from three (3) to one (1) year the duration of validity of the non-competition clause, which is imposed to the acquiring company, regarding the production, trade, distribution and marketing of branded ice cream in cooperation with third parties.
Judicial Means Appeal.
Decisions by the Court of Appeal of Athens (Administrative Division) ACAA 29/2013ACAA 5033/2014
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