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COMP ET I T I ON LAW

89

Conditional Authorization to the Acquisition of Burgaz by

Mey

*

The Competition Board (hereinafter referred to as the “Board”)

authorized the acquisition of Burgaz Alcoholic Beverages Commercial and

Economic Union (hereinafter referred to as “Burgaz”) which the Saving

Deposit Insurance Fund offered for sale by Mey İçki Sanayi ve Ticaret

A.Ş. (hereinafter referred to as “Mey İçki”) under certain conditions.

The summarized decision (hereinafter referred to as the “Decision”) was

published on the official website of the Competition Authority on July 12,

2010

1

.

Decision’s Background

The Board, in its decision dated 18 November 2009 and numbered 09-

56/1325-331, unanimously rejected the acquisition of Burgaz by Mey İçki

within the scope of Article 7 of the Act on the Protection of Competition

No. 4054 (hereinafter referred to as the “Act”)

2

. The Board rejected the

acquisition because in case of acquisition:

The competition would be significantly restricted,

Mey İçki would have its dominant position strengthened in the raki

market and

Mey İçki would become dominant in the other markets for alcoholic

beverages other than the market for raki.

Nevertheless, in its decision, theBoard rejected the proposed acquisition

without asking the parties to submit their commitments. However, in order

to permit the improvement of both the social welfare and the economy, it

would be more appropriate if the Board had asked the parties to submit

commitments instead of simply rejecting the proposed acquisition. It is also

stated in Article 6 of the Commission notice on remedies acceptable under

Council Regulation (EC) No 139/2004 and under Commission Regulation

(EC) No 802/2004 numbered 2008/C- 267/01 and dated October 22,

2008 (hereinafter referred to as the “Notice”) that the Commission must

*

Article of July 2010

1 The justified decision of the Board is not published yet. To consult the decision, see the follow-

ing link:

http://www.rekabet.gov.tr/index.php.

2 To consult the decision, see the following link.

http://www.rekabet.gov.tr/dosyalar/kararlar/

karar3183.pdf.