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OFT refers Irish animal by-product merger to Competition Commission

By  |  March 15, 2012
OFT refers Irish animal by-product merger to Competition Commission

The OFT has referred Ulster Farm By-Product’s planned acquisition of Linergy to the Competition Commission. Ulster Farm is a wholly owned subsidiary of Glenfarm Holdings Ltd; it collects, processes and recovers animal by-products in Ireland. Linergy is involved in similar activities. Together, the companies comprise two of the three renderers of animal by-products in Northern Ireland. Additionally, the companies face only one other competitor in the market for the processing of fallen stock.

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    Category 1 processing of animal by-products carries a high risk of bovine spongiform encephalopathy (colloquially known as mad cow disease). Category 3 processing has a lower risk. The OFT found that the merger would leave no competitors for Category 3 rendering in Northern Ireland, and only one category for Category 1. As such, the OFT has referred the proposed transaction to the Competition Commission for further review.

    Full content: OFT Press Release