Merger of Ísfélag Vestmannaeyja hf. and Rammi hf.

The Competition Authority took a position on the merger of Ísfélag Vestmannaeyja hf. and Rammi hf.

The merger was duly notified on 10 February 2023, and the statutory deadlines began to run. The investigation concluded in Phase I on 17 March 2023.

The Competition Authority concluded that there were no grounds for intervention. Thus, there were no indications to suggest that a dominant market position was being created or strengthened in the relevant markets of the case, or that competition was otherwise being distorted.

According to information in the case, the merging parties would hold just over 81% of the quota share in fish equivalent tonnes, which is below the 12.01% maximum limit under the Fisheries Management Act No. 116/2006. Other information in the case concerning markets for demersal and pelagic fisheries, the processing of demersal fish catch, the sale of demersal fish catch at fish markets, the direct export of demersal fish catch, and allocated quotas for shellfish and crab did not warrant further examination.

The decision addressed the interaction between competition law and provisions on the maximum quota share in the Fisheries Management Act. It is the task of the Icelandic Fisheries Administration to ensure compliance with the provisions of the Fisheries Management Act concerning the maximum quota share. It was established in the case that the combined parties' quota share exceeded the maximum limit under the Fisheries Management Act with regard to herring, but it was stated on behalf of the combined parties in the case that measures would be taken to bring the quota share below that limit in accordance with the Act on the management of fisheries. fisheries no. 116/2006. That said, the Competition Authority does not have oversight of the Fisheries Management Act. Fiskistofa provided an opinion in the case and raised no objections to the merger.