Merger of Johan Rönning Ltd. and Vatns og veitna Ltd.

The Competition Authority has been reviewing the merger of Johan Rönning Ltd and Vatns og veitna Ltd. Johan Rönning operates in various sub-markets of the general building materials market. These include the import and distribution of electrical installation materials, electrical products and related goods. Johan Rönning also imports materials for central and drinking water piping. The company Vatn og veitur specialises in the import of materials for central and drinking water piping and water supply materials.  

This concerns a horizontal merger where Johan Rönning is acquiring all the shares in Vatn and Veitur.  Following an investigation and in light of the case file, the Competition Authority is of the opinion that the merger will not prevent effective competition in the relevant markets and will not lead to the creation or strengthening of a dominant position. Furthermore, the merger does not otherwise lead to a significant distortion of competition in the market. Therefore, there are no grounds to take action regarding the merger under Article 17(c) of the Competition Act no. 44/2005.