The companies that appealed the Swedish Competition Authority’s decision to ban a concentration that would give them control over the three cheese brands Präst, Herrgård and Grevé did not succeed in court. This is the result of a decision by the Patent and Market Court.
Through the intended concentration, Arla Foods, Falköpings mejeri and Norrmejerier would acquire joint control over Svensk Mjölk AB and thus the three well-known cheese brands. The concentration would significantly impede effective competition in regards to the sale of these cheeses, according to the Swedish Competition Authority, which decided to ban the deal.
The companies chose to appeal the Swedish Competition Authority’s decision. However, as a result of arbitration, the implementation of the intended concentration has subsequently been impeded. An examination in substance of the case would therefore, according to the Court, relate to a hypothetical situation.
“I note that the Court shares our view that the appeals should not be examined in substance. The fact that the concentration cannot be implemented is good for the Swedish cheese consumers,” says the Swedish Competition Authority’s Director-General Rikard Jermsten.
The Court also rejects the companies’ claims for reimbursement of litigation costs.
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