The acquisition of Útgerðarfélagið Glófaxa ehf. by Vinnslustöðin hf.

The Competition Authority has been reviewing the merger of Vinnslustöðin hf. and Útgerðarfélagið Glófaxi ehf. Both companies are engaged in the operation of fishing vessels; Vinnslustöðin is one of the country's largest fishing companies and operates seven vessels, as well as running a large-scale fish processing plant. Glófaxi's operations consist of the management of one longline vessel from the Westman Islands. Following the merger, the combined company's quota share in total allowable catches in the Icelandic fishing zone will be below 51% TTE (tonnes of thrashed equivalent).

This is therefore a horizontal merger, where Vinnslustöðin is acquiring all the shares in Glófaxi. 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 will not otherwise significantly distort 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.