THE GERMAN COMPETITION AUTHORITY ELUCIDATED THE ACQUISITION OF ONE OF THE MAIN NEWSPAPER PUBLISHING COMPANIES BY ANOTHER ONE
German Competition Authority (Bundeskartellamt), permitted the proposed acquisition of all the shares in the publishing company Verlag Wetterau und Vogelsberg GmbH (VWV) by Mittelhessische Druck- und Verlagshaus GmbH & Co. KG which is part of Ippen-Mediengruppe.
Until now, VWV has belonged to VRM Mediengruppe and published he regional subscription daily newspaper “Kreis Anzeiger” and the advertising newspaper “Sonntag-Anzeiger”. Along with the advertising newspaper “Neue Wochenpost für Oberhessen” which belongs to the Ippen group, these newspapers are mainly published in the eastern part of the Wetteau district.
In the statement, the President of the German Competition Authority mentioned that, although the merger will have serious effects on competition in the newspaper and advertising sector, the market volume is below the so-called minor market threshold so, it will not be possible to prohibit the merger before observing the effects of the Project.
Under the German Competition Act (GWB) the minor market threshold applies if the requirements for a prohibition are fulfilled exclusively on markets on which goods or commercial services have been offered for at least five years and which had a total 2 domestic sales volume of less than 20 million euros in the last calendar year.
Please find press release here.