The Commission cleared, subject to conditions, the proposed acquisition of Lutosa, of Belgium, by McCain, of Canada. McCain is active globally in the production, processing and sale of frozen, chilled and dehydrated food products, such as potato products, pizzas, appetizers, oven meals, juices and desserts. Lutosa is a group of internationally operating companies headquartered in Belgium, active in the food sector and in particular in potato production and sales markets. The Commission’s investigation revealed that the proposed transaction, as initially notified, risked reducing competition significantly in the Belgian retail market for branded frozen french fries and potato specialties, as it would eliminate the competitive constraint exerted on the market leader McCain by Lutosa, which relies on Belgian sourcing for its brand positioning and on a good price/quality relationship. Furthermore, the merged entity would have large combined market shares, without sufficient competitive constraints from the one remaining competitor or from private label products. In order to remove the Commission’s concerns, McCain offered to divest the retail business operated under the "Lutosa" brand in the EEA to a suitable purchaser. The divestment includes an EEA-wide exclusive license for the "Lutosa" brand in the retail sector, together with the necessary know-how and staff. In view of these commitments, the Commission concluded that the proposed acquisition would not significantly impede effective competition in the EEA or in any substantial part thereof. Source: Commission Press Release 29/5/2013