Brussels, 25/04/2006 (Agence Europe) - The European Commission has cleared under the EC Merger Regulation the plan by the French group Lactalis to take over the Italian group Galbani Spa, a subsidiary of the investment fund BC partner. “Those who like their insalata caprese and their tiramisu can rest assured that the merger will not mean higher prices or lower quality”, commented Neelie Kroes, the Competition Commissioner. Lactalis and Galbani are both producers of Italian-type cheeses that they sell in many countries in Europe, particularly Italy and France. The two firms have substantial sales of mozzarella in France and Italy. They also have a firm foothold on the Italian market for gorgonzola, crescenza and mascarpone. The Commission's investigation showed that the deal would not have any significant impact on competition within the European Economic Area. In the case of the French market, the Commission found that the competitive pressure exerted by Lactalis' Président mozzarella on Galbani's Santa Lucia mozzarella was limited, in terms of both price and quality. In the case of the Italian market, the two firms will own a number of widely sold labels but these are mid-market labels or labels at the lower end of the market and they will not only be up against competition from other producers of low-priced cheeses, but also from many traditional regional producers which attach great importance to the quality of their products.