Mergers: Commission approves proposed merger between Kenwood and JVC
- Japan
- 08/20/2008
The European Commission has cleared under the EU Merger Regulation the proposed merger between Kenwood Corporation of Japan and Victor Company of Japan (“JVC”), both providers of electronics equipment. After examining the operation, the Commission concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it.
Kenwood is a global provider of electronics equipment. Its business focuses on three product categories: (i) car electronics, (ii) home electronics, and (iii) communication equipment (including handheld and mobile radios, transceivers, repeaters and base stations).
JVC is active world-wide in the research, development, manufacturing and sales of electronic products and accessories for private and professional use. JVC’s business includes audio, visual, computer-related electronics and software, and media products.
The Commission’s examination of the proposed transaction showed that the horizontal overlaps between the activities of Kenwood and JVC are limited in most markets, that the new entity would continue to face several significant competitors in the markets for car electronics, home electronics and mobile electronics and that customers would continue to have access to a sufficient number of alternative suppliers.
The Commission therefore concluded that the creation of the new entity would not give rise to any competition concerns in the markets concerned.
