Estonian Competition Board Permit to Purchase Two Meatpackers
OREANDA-NEWS. July 22, 2008. The Estonian Competition Board will grant permission to the Finnish Atria meat-packer to buy Estonia's AS Woro Kommerts and AS Vastse-Kuuste Lihatoostus.
"Concerning Woro the decision had really been signed as of yesterday," Svetlana Ljutova, head of the Board's merger control department, told.
There was no official permission concerning the merger of Vastse-Kuuste Lihatoostus, but by Tuesday noon the Competititon Board's permission was published in the Ametlikud Teadaanded official gazette on the basis of which AS Valga Lihatoostus aquires a dominating influence over Vastse-Kuuste Lihatoostus.
Both the meatpackers will continue their operations under the existing trademarks and with the present organizations.
Riina Aamisepp, marketing director of AS Valga Lihatoostus, which belongs to Atria, has earlier told BNS that the companies will merge as independent companies into the ownership of AS Valga Lihatoostus, depending on the transaction of the acquisition of the shares in the companies.
According to earlier information 97,7 percent of shares in Woro Kommerts should pass to Atria.
In Atria's opinion consolidation of the new companies could take place from August 1. The parties have agreed that the price of the transaction will not be made public.
Operations of Valga Lihatoostus along with Woro and Vastse-Kuuste will constitute the second biggest unit on the Estonian meat-packing market with an annual turnover of nearly 657 million kroons (EUR 42 mln) a year.
(EUR 1 = EEK 15,65)
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