Ownership of Landic Property ehf. and Þyrpingu hf. by Stoðir Eignarhaldsfélag hf. (formerly FL Group).

On 11 April, the Competition Authority received a sufficient merger notification, announcing the acquisition by FL Group (now Stoða eignarhaldsfélags hf.) of shares in the property companies Þyrping, Landic Property, Eikarhald and Fasteignafélag Íslands.  In the merger notification, however, FL Group sets out its position that the acquisition of shares in the aforementioned property companies does not constitute a merger within the meaning of competition law. As detailed further in the decision, the Competition Authority had previously been notified of the merger of Stoðir hf. and Landsafl ehf. (now Landic Property hf.) on the one hand, and the merger of Eikarhalds ehf. (now Eik Properties ehf.) and Fasteignafélagsins Eikar ehf. on the other hand. The Competition Authority had concluded that these were inadequate merger notifications, as it assessed that FL Group had acquired control of the aforementioned two companies, namely Landic Property and Eikarhald. Following further changes to the ownership of Landic Property and Eikarhald, as well as to the companies Þyrping and Fasteignafélag Íslands, which took place on 4 December 2007, FL Group was notified that the Competition Authority had concluded that FL Group had acquired control of all four real estate companies, namely Þyrpingu, Eikarhald, Landic Property and Fasteignafélagi Íslands.

As set out in more detail in the decision, due to changes in the ownership of Eikarhald and Fasteignafélag Íslands, this decision only addresses the ownership by Stoðir Eignarhaldsfélag (formerly FL Group) of Landic Property and Þyrping.

In the opinion of the Competition Authority, the synergies of the merger will be felt primarily in the companies' activities in the leasing of commercial property. The Competition Authority's examination of market share, market structure and other factors, as set out in the case file, does not lead to the conclusion that Landic Property and Þyrping would attain a dominant position in the market. In light of this, the Competition Authority considers that there is no reason to take action regarding the merger in question under Article 17 of the Competition Act. The potential links between these companies and the property company Eik Properties (formerly Eik and Fasteignafélag Íslands) will be considered in a separate case.