17 September 2007

Svitzer/Adsteam: Assessing unilateral effects when monopolists merge

In February 2007, the UK Competition Commission (hereafter, the “CC”) cleared the acquisition of Adsteam Marine Ltd. (“Adsteam”) by Svitzer-Wijsmuller A/S (“Svitzer”). Each of the two parties was the sole supplier of harbour towage services in a number of UK ports and after the merger the new entity would have accounted for around 90% of such services in the UK. The CC concluded that no substantial lessening of competition would arise post-merger except in the port of Liverpool, the only UK port …

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