EC approves acquisition Ugitech by Schmolz+Bickenbach
IP/06/921 Mergers: Commission approves proposed acquisition of control of Ugitech by Schmolz + Bickenbach
Brussels, Belgium – The European Commission has approved under the EU Merger Regulation, the proposed acquisition of the French company Ugitech S.A. by Schmolz + Bickenbach KG (“S+B”) of Germany. The Commission concluded that the envisaged operation would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it, as the parties will continue to face effective competition from a number of strong market players.
S+B produces and distributes specialty steels and carbon steels. Ugitech, currently wholly owned by the Arcelor Stainless Group, produces and distributes stainless steels. The activities of S+B and Ugitech overlap on the EEA market for the production of stainless steels and on the German and French stainless steel distribution markets. Stainless steels are a particular subgroup of specialty steels, particularly resistant to heat and corrosion.
The Commission’s investigation showed that the horizontal overlaps between the activities of S+B and Ugitech are limited on the markets concerned and that on these markets the parties will continue to face several strong, effective competitors with significant market shares.
More information on the case will be available at: http://ec.europa.eu/comm/competition/mergers/cases/index/m84.html#m_4211