PepsiCo’s Canary Islands associates have failed to come to an agreement on the process for carrying out an approved merger transaction, started in December 2015. The disagreement stems from majority partner Ahemon’s attempts to dominate the new society by designating board members with a veto over its partner, Embotelladora Canarias.
60% of the new Ahembo botler is controlled by Embotelladora Canarias. The merger was approved by Spanish market regulator CNMC last spring, creating a group with 390 employees and over 90 million euros in annual revenue. Of these 90 million, Embotelladora Canaria is said to provide up to 69 million in sales. The disagreement between the two former rivals has drawn interest from local authorities due to the direct and indirect effects on employment from the new group.
The bottler’s merged network includes 17,000 points of sale around the islands. The Canary Island’s soft drinks market enjoys certain advantages, including tariff protection and other EU-approved incentives, as well as an active tourist industry.
Full Content: ABC
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Uruguayan Antitrust Scrutiny Puts Major Meatpacking Deal Between Marfrig and Minerva on Hold
May 19, 2024 by
CPI
Alaska Airlines Seeks Dismissal of Consumer Lawsuit Over $1.9 Billion Hawaiian Airlines Buy
May 19, 2024 by
CPI
Idaho Attorney General Orders Split of Kootenai Health and Syringa Hospital
May 19, 2024 by
CPI
Court Rejects T-Mobile’s Appeal Bid in Antitrust Case Over Sprint Merger
May 19, 2024 by
CPI
Google Requests Judge, Not Jury, to Decide on Antitrust Case
May 19, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Ecosystems
May 9, 2024 by
CPI
Mapping Antitrust onto Digital Ecosystems
May 9, 2024 by
CPI
Ecosystems and Competition Law: A Law and Political Economy Approach
May 9, 2024 by
CPI
Ecosystem Theories of Harm: What is Beyond the Buzzword?
May 9, 2024 by
CPI
Open Ecosystems: Benefits, Challenges, and Implications for Antitrust
May 9, 2024 by
CPI