The CMA has found that Arcelik's anticipated purchase of Whirlpool's major appliances business in
The transaction will be referred for an in-depth Phase 2 investigation unless Arcelik offers undertakings to address the Competition and Markets Authority's (CMA) concerns.
The CMA found that, should the deal go ahead, the merged company will be the largest individual supplier of washing machines, tumble dryers, dishwashers and cooking appliances - a market worth over £3.8 billion in the
Arcelik and Whirlpool's position is particularly strong in the low to mid-range price categories of these domestic appliances, where they would face competition from only a small number of competitors.
The CMA is concerned that this lessening of competition may result in higher prices or a reduction in choice or quality for customers.
The proposed deal will combine 2 major providers of home appliances in the
As competition from other suppliers in the low-mid price range appears to be limited, we are concerned that this tie-up could leave people paying more or receiving lower quality products. Unless Arcelik offers a solution to address our concerns, we'll move to an in-depth investigation.
More information can be found via the Arcelik /Whirlpool case page.
Notes to editors
- Arcelik agreed to acquire Whirlpool's EMEA Major Domestic Appliances Business pursuant to a Contribution Agreement dated
- The CMA found that the transaction gives rise to a realistic prospect of a substantial lessening of competition (SLC) as a result of horizontal unilateral effects in the supply of washing machines, tumble dryers, dishwashers and cooking appliances in the
- The CMA found that the transaction does not give rise to a realistic prospect of a substantial lessening of competition in the supply of refrigerators and freezers in the
- The parties have until
- For more information, journalists should contact the CMA press office by email on press@cma.gov.uk or by phone on 020 3738 6460.
- All enquiries from the general public are directed to the CMA's General Enquiries team on general.enquiries@cma.gov.uk or 020 3738 6000.
.
(C) 2023 M2 COMMUNICATIONS, source