Antitrust Law Daily Wrap Up, ANTITRUST NEWS: Clariant’s acquisition of Kilfrost abandoned; U.K. merger investigation cancelled, (Jun 13, 2016)
Organizations Mentioned:Clariant | Kilfrost
By Michael Menzhuber, J.D., LL.M.
The United Kingdom’s Competition and Markets Authority (CMA) has cancelled its merger investigation into the anticipated acquisition of Kilfrost’s de-icing/anti-icing fluids business by Clariant, following assurances from the parties that they have abandoned the transaction, the agency announced today.
Clariant and Kilfrost are the two largest suppliers of aircraft de- and anti-icing (ADF) in the U.K. and the rest of the European Economic Area. ADF, which removes and protects against the formation of frost or ice or slush or snow, is sprayed on airplanes while on the ground in order to prepare them for take-off and flight in winter conditions.
The CMA had indicated that it might block the merger after the group of independent panel members investigating the merger had provisionally found that it could lead to: (1) higher prices for ADF; or (2) a reduction in choice and quality, particularly in relation to security of supply.
The merger had previously been referred for a phase 2 investigation in February 2016.
Companies: Clariant; Kilfrost
News: Antitrust AcquisitionsMergers