The Commission has cleared under the EU Merger Regulation the proposed acquisition of Univar NV of The Netherlands by CVC Capital Partners Group S.a.r.l. of Luxembourg. After examining the operation, the Commission concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it.
CVC is a private equity buy-out house. Univar is active in the distribution of commodity and specialty chemicals. The proposed transaction would give rise to vertical relationships as CVC is about to acquire Taminco, a company active in the production of chemicals (approved by the Commission on 28 August 2007 under the simplified procedure, case M4821).
The Commission concluded that the vertical relationships between Univar as a distributor and Taminco as a producer of chemical products would not give rise to competition concerns, as the relationships are very limited and Taminco's presence in the distribution market is very low, its business model being based on direct sales to end customers. Additionally, several strong and effective competitors are present in all the markets concerned. [18 September 07]