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Office of Competition and Consumer Protection

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Objections to the concentration of Carrefour - Tesco

< previous | next > 23.07.2021

Objections to the concentration of Carrefour - Tesco
  • The President of UOKiK Tomasz Chróstny has raised objections to the takeover by Carrefour Polska of the retail space of Tesco hypermarket in Bielany Wroc³awskie.
  • The transaction may lead to reduced competition in the local market.
  • The objections shall not prejudge the final decision in this case.

The concentration is understood here as the acquisition by Carrefour Polska of a part of a property of Ingka Centres Polska, in the form of retail space, that is used by Tesco hypermarket in Aleja Bielany Shopping Centre in Bielany Wroc³awskie.

In this case, it was necessary to conduct a market survey and verify the data presented by the acquiring company in its application for approval of the transaction. Therefore, the President of the Office referred the case to stage 2.

- According to the market research, the concentration may lead to a situation in which Carrefour Polska will not have to compete with other hypermarkets on the local market. Moreover, consumers who live in the vicinity of the acquired hypermarket would have a limited choice of stores where they could do their shopping. Therefore I presented my objections to the concentration - says the President of OUKiK Tomasz Chróstny.

The analysis of this case and the previous case law of the President of the Office and antitrust authorities in other countries show that the area of competition of large stores for customers is an area with a radius of up to 25-minute car ride. This is the maximum distance consumers are usually willing to travel to look for another hypermarket.

Objections to concentration

In cases where there is a reasonable likelihood that competition will be significantly restricted as a result of company consolidation, the President of the Office presents the entrepreneur or entrepreneurs participating in the concentration with objections concerning the planned transaction. The objections shall contain a statement of reasons and shall not prejudge the final decision in the proceedings.

In accordance with the provisions, entrepreneurs shall have 14 days to respond to the objections. This deadline may be extended by another two weeks upon their request.

Additional information for the media:

UOKiK Press Office
Pl. Powstańców Warszawy 1, 00-950 Warszawa, Poland
Phone +48 695 902 088, +48 22 55 60 246
E-mail: [SCODE]Yml1cm9wcmFzb3dlQHVva2lrLmdvdi5wbA==[ECODE]
Twitter: @UOKiKgovPL

Attached files

 

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