Norwegian Competition Authority blocks Eimskip – Nor Lines
– The Competition Authority is obligated to block acquisitions that harm competition. Eimskip and Nor Lines are close competitors and collectively hold a substantial market share in today's market, says Director General Lars Sørgard.
The Authority's decision was issued today. The acquisition involves the two largest players in the market for shipping frozen fish from Northern Norway to Northern Europe. The parties' customers are fish producers who procure shipping services for their frozen fish. The majority of the frozen fish is exported.
Few market players
The market for transportation of frozen fish with reefer vessels from Northern Norway to Northern Europe already has a low number of market players.
– Our assessment is that an acquisition would result in reduced competition, which would make it possible for Eimskip to increase prices or reduce quality for its customers, says acting Director Øyvind Nilssen.
The Authority has collected substantial information from the parties, other shipping companies, road transportation undertakings, harbours and customers in the market. Based on this information the Authority has conducted comprehensive analyses on how the acquisition would affect competition and customers in the market.
The Authority's decisions are subject to appeal to the newly established Competition Appeals Board.