Mega Image pledges to implement fair acquisition procedures after Profi takeover in Romania

The Mega Image store chain controlled by Ahold Delhaize has announced a series of commitments aimed at ensuring the smooth functioning of the retail market, particularly regarding its acquisition procedures, if the Competition Council approves the economic concentration resulting from the acquisition by the Ahold Delhaize group of the Profi store network in Romania.

The Romanian competition body published for public consultations the commitments proposed by Mega Image and Delhaize to eliminate the concerns related to the merger of the two major Romanian retail chains Mega Image and Profi under the ownership of Delhaize.

Ahold Delhaize claims that the proposed set of rules "intends to ensure stability and predictability on the Romanian retail market, especially in relation to the current partners of the two retail networks Mega Image and Profi, as well as to the potential future partners of Mega Image and Profi," according to Ziarul Financiar.

The set of measures includes, however, only procedures aimed at protecting the suppliers and not the sale of a number of stores in particular areas where the combined network of the two retail chains exceeds a certain dominant position.

Ahold Delhaize taking over Romanian retail chain Profi from Mid Europa Partners poses multiple challenges due to the strong position achieved by the buyer, which already operates local retail chain Mega Image, on both wholesale procurement and retail markets, Romania's competition body commented on August 14.

The Competition Council also said it is open to hearing any comments the suppliers and/or competitors may have regarding the competition issues raised by the merger.

The EUR 1.3 billion deal, announced by the parties last year, still awaits the Competition Council's permit.

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