
The Germany competition regulator has given the green signal for Rewe’s proposed acquisition of Lekkerland, in a move that creates a European behemoth in the grocery retail and wholesale market.
Andreas Mundt, President of the German Cartel Office, said the deal posed no threat to competition as the two groups “have a combined market share of less than 10% in the food wholesale sector”. Mundt added that the regulator’s probe also found no serious risk to the negotiating power of manufacturers, given the strong competition in the market and the relatively low overlap between the two groups.
The two companies had combined revenues of about €40bn in 2018. Rewe has previously said the deal aims at expanding its on-the-go concept and fuel forecourt operations, while giving it greater control over the supply chain.
Full Content: Kam City
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