KI Chemistry, member of the Kulczyk Investments capital group was permitted to take control over Ciech. The proceedings which were conducted showed that the transaction is not going to result in restricting competition

KI Chemistry’s application to take control over Ciech was received by the Office of Competition and Consumer Protection in March 2014. The acquiring company is not currently engaged in any operating activities. It is a member of the Kulczyk Investments capital group that comprises over 150 companies engaged in, among other things, searching and extracting natural resources, producing and selling electric energy or investing in road infrastructure. Ciech manages the group of more than 30 companies mainly engaged in the production, distribution and trade in the chemical industry. A part of them also operates on the market of producing and distributing electric and thermal energy, mostly for the Ciech Group members.

The concentration is to involve the acquisition by KI Chemistry of shares carrying 66% of a total number of votes at Ciech’s General Meeting of shareholders.

The conducted proceedings showed that the activities of the capital groups of the parties to the transaction overlap on the domestic markets in the area of producing, trading in and retail sales of electric energy, trading in certificates of origin and providing transport, forwarding and logistic services. However, the concentration is not going to significantly affect their structure, hence it will not lead to the restriction of competition.

Pursuant to the law, the concentration is subject to notification to the anti-monopoly authority if it involves entrepreneurs whose combined turnover generated in the preceding year exceeded EUR 1 billion worldwide or EUR 50 million in Poland.

The decisions authorizing the concentrations expire if the mergers are not performed within 2 years from their issue. UOKiK’s website  publishes information on all concentration-related anti-monopoly proceedings conducted by the Office. More information about the principles governing mergers can be found in a specially compiled guideline.

Additional information for the media:
Małgorzata Cieloch, Spokesperson for UOKiK
Department of International Relations and Communication
Pl. Powstańców Warszawy 1, 00-950 Warszawa
Tel. +48 22 827 28 92, 55 60 314, 55 60 430
Fax +48 22 826 11 86
E-mail: [SCODE]bWFsZ29yemF0YS5jaWVsb2NoQHVva2lrLmdvdi5wbA==[ECODE]