December 2012 – Recent developments in competition law in the CEE-SEE region.
Czech Republic
The Czech Office for Protection of Competition again fines telecoms operator for abuse of dominance on the market for telecom services for business customers
The Czech Office for the Protection of Competition has fined Telefónica for offering customers discounts and other benefits in exchange for entering into a contract with a limited possibility to terminate. According to the Office, the practice constituted an abuse of a dominant position on the market for public telecom services for businesses provided via public fixed telecom networks. The Office increased a fine imposed in its original decision which was later annulled by a court of appeal. Read more
Hungary
The Hungarian Competition Office clears the acquisition of the prospective owner and operator of the gas interconnector between Slovakia and Hungary by two state-owned companies
The Hungarian Competition Office (HCO) has approved the acquisition of joint control by Magyar Villamos Művek Zrt. and MFB Invest Befektetési és Vagyonkezelő Zrt. over Magyar Gáz Tranzit Zrt. (MGT), the prospective owner and operator of the gas interconnector between Slovakia and Hungary. As part of the investigation, the HCO examined whether the acquirers belong to separate control centres, despite the fact that both companies are controlled by the state. Read more
Romania
The Romanian Competition Council addresses new developments regarding the joint selling of commercial rights for football broadcasting
In an investigation against the Romanian Football Federation (RFF) and the Professional Football League (FPL) and its members, the Romanian Competition Council (RCC) concluded that the joint selling agreement of commercial rights of football matches could lead to market foreclosure and that competition between football clubs was restricted due to the joint selling of commercial broadcasting rights. However, the RCC accepted a number of commitments offered by the parties that address competition concerns. Read more
Serbia
The Administrative Court annuls the decision of the Competition Authority prohibiting a merger between the two largest sugar producers in the Republic of Serbia
The Serbian Administrative Court annulled the decision of the Serbian Competition Authority prohibiting a merger between Sunoko and Hellenic Sugar Industry and returned the matter to the Competition Authority for a new decision. The Court argued that the Competition Authority failed to offer a proper explanation of its rejection of the structural remedies proposed by Sunoko. In particular, the Competition Authority did not provide sufficient evidence supporting its view that the structural remedies proposed by Sunoko were not acceptable to the Competition Authority. Read more
Slovakia
Slovak Antimonopoly Office prohibits bakeries merger
The Slovak Antimonopoly Office prohibited the concentration of two bakery producers (Agrofert/Euro Bakeries), arguing that it would give Agrofert a dominant position which would significantly distort effective competition on the relevant bakery products markets in Slovakia. This is the first time since 2006 that the Antimonopoly Office prohibited a concentration in Slovakia. Earlier this year, the same concentration was approved by the Czech Competition Authority, subject to remedies. Read more
Turkey
The Turkish Competition Board approves an acquisition in the markets for metal packaging coatings and metal decorating inks
The Turkish Competition Board has approved the acquisition of Metlac Holding by Akzo Nobel Coatings, having concluded that the transaction would not lead to the creation or strengthening of a dominant position that would substantially lessen competition in the market. It is worth noting that the same transaction was recently prohibited in the United Kingdom. Read more