Merger of Ferro Zink ehf. and Metal ehf.

This decision concerns the merger of the companies Ferro Zink ehf. and Metal ehf. The merging parties are among the few companies in Iceland that specialise in the import and sale of construction metals, with a wide range of metals of various sizes and types. Through this, both merging parties serve sheet metal, metal and mechanical workshops, and various industrial companies.

The Competition Authority believes it is likely that the merger would lead to higher prices and/or poorer service for customers. Furthermore, the merging parties had not demonstrated that the potential benefits of the merger would offset these harmful effects on the market, nor that they would be passed on to consumers.

Is it the conclusion of the Competition Authority that the merger would distort competition and is therefore contrary to competition law?.