The European Commission has cleared under the EU Merger Regulation the proposed acquisition of EMS of Romania by Enel of Italy. Both companies are active in the electricity sector. 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.
Enel Sp.A. is the former Italian electricity incumbent. While Enel has some activities in the gas sector, it is mainly active in the generation, distribution and supply of electricity. Enel is mainly active in Italy, with some operations in Spain, Bulgaria, Romania, Slovakia, Russia, France, and North and South America.
'Societatea Comerciala Filiala de Distributie si Furnizare a Energiei Electrice Electrica Muntenia Sud S.A.' (EMS) is active in the distribution and retail supply of electricity in the south of Romania.
The Commission's analysis focused on the electricity retail supply market, which is the only market where the companies' activities overlap. The Commission's investigation showed that the proposed concentration would not give rise to competition concerns as in the market for the retail supply of electricity - to any type of customer (large or small, professional or domestic) - there are several other strong competitors present. [21 December 2007]