{"id":74855,"date":"2016-10-10T10:30:48","date_gmt":"2016-10-10T10:30:48","guid":{"rendered":"http:\/\/mostafa.openonline.co.uk\/?guid=2e0dda1f5af39f0bc05cff35047922b1"},"modified":"2016-10-10T10:30:48","modified_gmt":"2016-10-10T10:30:48","slug":"press-release-merger-of-fuel-pump-providers-could-face-in-depth-investigation","status":"publish","type":"post","link":"https:\/\/mostafa.openonline.co.uk\/?p=74855","title":{"rendered":"Press release: Merger of fuel pump providers could face in-depth investigation"},"content":{"rendered":"
\n

Dover Corporation (Dover) has agreed to acquire Wayne Fueling Systems (Wayne) from Riverstone Holdings LLC. Both companies are global manufacturers and suppliers of industrial equipment and components, including fuel dispensers and automation and payment systems for retail and commercial fuel stations.<\/p>\n

The Competition and Markets Authority (CMA<\/abbr>) found that the merger may lead to competition concerns in the supply of fuel dispensers in the UK. Other than Dover and Wayne, there is only one other significant supplier of fuel dispensers in the UK (Gilbarco), with other suppliers lacking sufficient scale to constrain the merged entity. The investigation also found significant barriers to manufacturers seeking to enter or expand their UK presence.<\/p>\n

The merger will therefore be referred for an in-depth phase 2 investigation by an independent group of CMA<\/abbr> panel members unless Dover and Wayne are able to offer undertakings which address the CMA<\/abbr>\u2019s competition concerns. The companies have until 17 October to do so.<\/p>\n

Sheldon Mills, CMA<\/abbr> Senior Director of Mergers and decision maker in this case, said:<\/p>\n

\u2018We have consulted widely on the implications of this merger and it is clear that Dover and Wayne have a particularly strong market position in supplying fuel dispensers in the UK. We received a number of complaints about the merger and the evidence showed that, for many customers, the merger would reduce the number of alternative suppliers of fuel dispensers from 3 to 2. We believe that the merger could lead to increased prices for these products, or reduced service quality, which could ultimately pass through to drivers filling up at the pump. We therefore think the merger warrants an in-depth investigation, unless the companies offer suitable proposals to address our concerns.\u2019<\/p>\n

Notes for editors<\/h3>\n
    \n
  1. The CMA<\/abbr> is the UK\u2019s primary competition and consumer authority. It is an independent non-ministerial government department with responsibility for carrying out investigations into mergers, markets and the regulated industries and enforcing competition and consumer law. For more information on the CMA<\/abbr> see our homepage<\/a> or follow us on Twitter @CMAgovuk<\/a>, Flickr<\/a> and LinkedIn<\/a>. Sign up to our email alerts<\/a> to receive updates on merger cases.<\/li>\n
  2. Under the Enterprise Act 2002 (the Act) the CMA<\/abbr> has a duty to make a merger reference, resulting in an in-depth phase 2 merger investigation, if the CMA<\/abbr> believes that it is or may be the case that a \u2018relevant merger situation\u2019 has been created, or arrangements are in progress or in contemplation which, if carried into effect, will result in the creation of a relevant merger situation; and that the creation of that situation has resulted, or may be expected to result, in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services.<\/li>\n
  3. Under the Act a \u2018relevant merger situation\u2019 is created if 2 or more enterprises have ceased to be distinct enterprises; and the value of the turnover in the United Kingdom of the enterprise being taken over exceeds \u00a370 million (\u2018the turnover test\u2019) or as a result of the transaction, in relation to the supply of goods or services of any description, a 25% share of supply in the UK (or a substantial part of the UK) is created or enhanced (\u2018the share of supply test\u2019).<\/li>\n
  4. The CMA<\/abbr> considers that it is under a duty to make a phase 2 merger reference in this case under the Act. However, the duty to refer is not exercised while the CMA<\/abbr> is considering whether to accept undertakings in lieu of a reference. Dover and Wayne have until 17 October to offer undertakings that might be accepted by the CMA<\/abbr>. If no undertaking is offered or accepted, then the CMA<\/abbr> will by 24 October refer the merger for a phase 2 merger investigation.<\/li>\n
  5. All the CMA<\/abbr>\u2019s functions in phase 2 merger investigations are performed by inquiry groups chosen from the CMA<\/abbr>\u2019s panel members. The appointed inquiry group are the decision makers on merger investigations. The CMA<\/abbr>\u2019s panel members come from a variety of backgrounds, including economics, law, accountancy and\/or business; the membership of an inquiry group usually reflects a mix of expertise and experience (including industry experience).<\/li>\n
  6. The text of this decision will be placed on the case page<\/a> in due course.<\/li>\n
  7. Media enquiries should be directed to Neil Kernohan (neil.kernohan@cma.gsi.gov.uk<\/a>, 020 3738 6170).<\/li>\n<\/ol>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

    Dover Corporation faces an in-depth investigation over competition concerns arising from the anticipated merger with Wayne Fueling Systems Ltd.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"_links":{"self":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/74855"}],"collection":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=74855"}],"version-history":[{"count":0,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/74855\/revisions"}],"wp:attachment":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=74855"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=74855"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=74855"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}