Merger Control: Commission approves proposed acquisition of M-Real Zanders’ Reflex paper mill by Arjowiggins, subject to commitments

The Commission has approved, subject to commitments, the proposed acquisition of the M-Real Zanders’ Reflex paper mill (“Reflex mill”) located in Düren, Germany, currently belonging to the Finnish paper manufacturing group M-Real Corporation (“M-Real”), by Arjowiggins SAS (“Arjowiggins”), a French paper manufacturer. The Commission’s in-depth investigation revealed that the proposed acquisition, as initially notified, would have raised serious competition concerns in the market for carbonless paper in the EEA. To address the Commission’s concerns, Arjowiggins agreed to divest the carbonless paper business at the Reflex mill. In view of these commitments, the Commission concluded that the proposed acquisition will not create or strengthen such a dominant market position that would significantly impede effective competition in the EEA or in any substantial part thereof.

Source: Commission Press Release 4/6/2008

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