The Market Court rejected the Finnish Competition and Consumer Authority’s (“FCCA”) proposal to block the creation of a joint venture by Uponor Oyj and KWH-Yhtymä Oy, both of Finland, and approved the transaction, subject to conditions. The FCCA made the prohibition proposal because it found that the joint venture would bring together the two largest suppliers of plastic pipe systems in Finland and, therefore, would be likely to lead to a significant reduction in competition and increase in prices and costs in the market for plastic pipes used in infrastructure solutions. The parties had offered commitments to resolve the FCCA’s competition concerns. However, the FCCA did not find the commitments sufficient to effectively eliminate the adverse effects on competition caused by the concentration. The Market Court rejected the FCCA’s proposal to prohibit the creation of the joint venture. However, the Market Court imposed conditions on the approval that were stricter than those the parties had offered to the FCCA. The Market Court found that without conditions, the joint venture would have restricted competition on several separate markets for plastic infrastructure pipes. However, the adverse effects of the concentration could be eliminated by the divestment of seven production lines, which the parties committed to sell to competing manufacturers of pipe systems. Further, the parties must allow contract manufacturing of certain types of pipes. Source: Market Court’s Press Release 24/5/2013 and Finnish Competition and Consumer Authority’s Press Release 27/5/2013