Iconex LLC/ Hansol Denmark ApS and R+S Group GmbH
The CMA is investigating the anticipated acquisition by Iconex LLC of Hansol Denmark ApS and R+S Group GmbH.
Statutory timetable
| Date | Action |
|---|---|
| 10 June 2019 | Decision announced |
| 10 April 2019 to 17 April 2019 | Invitation to comment |
| 9 April 2019 | Launch of merger inquiry |
| 13 March 2019 | Withdrawal of CMA request to European Commission |
| 27 February 2019 | CMA request to European Commission |
Phase 1
Merger abandoned
18 June 2019: Iconex, Schades and R+S have abandoned their proposed merger after the CMA raised competition concerns.
Iconex agreed to purchase 2 rival businesses, Schades and R+S, from Hansol Paper and Mirae Asset Daewoo Hunters Private Equity Fund in November 2018. Iconex, Schades and R+S manufacture and supply lightweight thermal paper rolls and labels. Many UK businesses, including shops, restaurants and banks, use these paper rolls to print receipts.
The CMA’s Phase 1 investigation found that the merger could lead to insufficient competition in receipt rolls in the UK, as Iconex and Schades are two of the UK’s largest suppliers of receipt rolls and compete very closely with each other. The CMA was concerned that the merger could result in less choice and higher prices for UK customers, who rely on receipt rolls to make sales and transactions.
At this stage of the investigation the businesses had the opportunity to offer a solution to address the CMA’s competition concerns, or to proceed to an in-depth Phase 2 investigation. However, the businesses have chosen to abandon the merger.
As the CMA has received assurances from Iconex and the sellers that the proposed merger has now been abandoned, the CMA has decided not to refer the merger for a Phase 2 investigation.
Reference unless undertakings accepted
10 June 2019: The CMA has decided, on the information currently available to it, that it is or may be the case that this merger may be expected to result in a substantial lessening of competition within a market or markets in the United Kingdom. This merger will be referred for a phase 2 investigation unless the parties offer acceptable undertakings to address these competition concerns.
- (5.7.19)
- News story: Merger of receipt roll suppliers could raise competition concerns
Launch of merger inquiry
9 April 2019: The CMA has announced the launch of its merger inquiry by notice to the parties.
- (10.4.19)
Invitation to comment: closes 17 April
10 April 2019: The Competition and Markets Authority (CMA) is considering whether it is or may be the case that this transaction, if carried into effect, will result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services. This transaction is also being investigated by the European Commission (COMP/M.9293).
CMA withdraws request to European Commission
13 March 2019: The CMA has withdrawn the request to the European Commission to investigate the anticipated acquisition by Iconex LLC of Hansol Denmark ApS and R+S Group GmbH.
CMA request to European Commission
27 February 2019: The CMA has asked the European Commission to investigate the anticipated acquisition by Iconex LLC of Hansol Denmark ApS and R+S Group GmbH.
- (10.4.19)
Contact
Please send written representations about any competition or public interest to:
Patricia Einfeldt
Competition and Markets Authority
Victoria House
Southampton Row
London
WC1B 4AD
Last updated 18 June 2019 + show all updates
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Merger abandonment announced.
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Commencement notice of the inquiry published and invitation to comment.
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Request to European Commission withdrawn.
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First published.