The Finnish Competition and Consumer Authority (FCCA) has today conditionally approved the merger in which Caverion Industria Oy will acquire Maintpartner Group Oy. The condition the FCCA set for the merger involves Caverion selling part of its industrial maintenance business.
The FCCA was notified on 20 May 2019 of the proposed merger in which Caverion Industria Oy would acquire Maintpartner Group Oy. Caverion specialises in technical solutions for buildings and industrial operators, including technical maintenance services for industrial facilities. Maintpartner offers operation and maintenance services for various industrial sectors, as well as project engineering and installation services to complement maintenance operations.
On 20 June 2019, the FCCA opened an in-depth investigation into the merger because based on the agency’s initial investigations, the merger might have substantially decreased competition in the total outsourcing of industrial maintenance services.
The agency’s investigations have proved that the market shares of the merging parties are high in the outsourced industrial maintenance market, which was already very concentrated pre-merger. Especially the market of total outsourcing of industrial maintenance services is very concentrated. In addition, the parties to the merger have competed closely for the same customers.
In order to eliminate any competitive disadvantages resulting from the merger, Caverion has committed to selling some of its industrial maintenance service total outsourcing customerships to its competitors. According to the FCCA, this commitment is adequate for eliminating the significant impediment to effective competition that the merger would otherwise result in and for ensuring the creation of competitive conditions on the market.
The decision handed down by FCCA contains confidential business secrets of the parties. The decision cannot therefore be made public until after the business secrets have been removed.
Read more:
Deadline for in-depth investigation of Caverion’s proposed acquisition of Maintpartner extended until 24 November 2019, FCCA press release 4 September 2019
FCCA opens in-depth investigation into the competition impacts of the proposed merger of Caverion and Maintpartner, FCCA press release 24 June 2019.
Inquiries:
Senior Specialist Anu Ala-Outinen, tel. +358 29 505 3010, firstname.lastname@kkv.fi