• UOKiK has initiated phase two of three cases concerning takeover of Tesco stores by Kaufland Polska Markety.
• This concerns locations in Lublin, Wrocław and Warsaw.
• A market survey is necessary in these proceedings.

The proceedings concern acquisition by Kaufland Polska Markety of part of the assets of Snowfinch, Zodiac and Tesco. As a result of the merger, Kaufland is to acquire rights to three retail spaces currently used by Tesco Polska. These are shops located in Lublin in 4 Orkana Street, in Wrocław in 37/47 Długa Street and in Warsaw in 41 Augusta Emila Fieldorfa “Nila” Street.

Kaufland belongs to the international Schwarz Group, which conducts retail sale of food and manufactured articles. In Poland, it has its own Kaufland and Lidl chains.

Tesco Polska is part of the British Tesco Group, which conducts retail sale of everyday consumer goods.

Snowfinch belongs to the 4fi Group, which invests in real estate, stocks, bonds and venture capital.

Zodiac is part of the Origami Group, which acquires private assets encumbered by debt or litigation proceedings.

The merger affects the local HSD market (hypermarkets, supermarkets and discount stores). According to estimates, the total shares of the transaction participants in this market are high, ranging from about 20% to over 30%. According to the President of the Office of Competition and Consumer Protection (UOKiK), in order to verify this information it is necessary to conduct a market survey. In addition, there is no reliable publicly available data on the various national markets in which the parties to the merger operate - concerning market size, market shares of the merger participants and their competitors. Without such data, UOKiK cannot assess the transaction.

The commencement of the second stage of the proceeding does not affect a decision to be made in the future. The President of the Office of Competition and Consumer Protection may give its consent (unconditional or conditional) to concentration or prohibit it. At this stage, the company may also withdraw the application. Pursuant to antitrust law, in such a situation UOKiK will obligatorily discontinue the proceedings and the notified concentration will not take effect.

Additional information

Pursuant to the Act on Competition and Consumer Protection, proceedings regarding concentration are two-stage. The first stage takes up to a month. However, in particularly complex cases, where there is a likelihood of a significant restriction of competition or where market research is requires, the proceedings may take more time.

The UOKiK website provides information on all antitrust proceedings regarding concentration conducted by the Office. Further information on the principles behind concentration can be found in a special report.

Additional information for the media:

UOKiK Press Office
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Phone +48 695 902 088, +48 22 55 60 246
E-mail: biuroprasowe@uokik.gov.pl
Twitter: @UOKiKgovPL