On Wednesday 14 November the European Commission conditionally approved the acquisition of the company Europac by DS Smith.
DS Smith, based in the United Kingdom, and Europac, based in Spain, are two manufacturers of a wide range of paper and packaging products, in particular corrugated packaging. The first is present in the European Economic Area, while the second operates in Spain, France and Portugal.
Both companies notified the Commission of their intention on 24 September. The latter particularly focused on corrugated sheets and cases.
The Commission was concerned at the time that the merger of the two companies could create a disruption to competition in the market for corrugated sheets and cases in Portugal and in the market for corrugated cases in western France.
In order to address the institution's concerns, DS Smith proposed to sell Europac's plant in Ovar, Portugal, and two plants that it currently controls in Normandy. It also involves transferring and assigning the plant’s applicable customer contracts.
Considering that these commitments would allay its concerns, the Commission has therefore decided, in the light of the EU Merger Regulation, to approve the operation. It specifies that this agreement is conditional pending full compliance with the commitments that the companies submitted. (Original version in French by Lucas Tripoteau)