Mergers & Acquisitions

On 1 September 2020, JD Sports Fashion and Pentland Group Limited filed an appeal against a CMA decision of 29 July 2020 to impose a penalty of £300,000 on the parties for failing to comply with the requirements of the CMA’s initial enforcement order issued in the context of the completed acquisition by JD Sports of Footasylum plc.

On August 28, 2020, the FCA prohibited for the first time a proposed transaction following an in-depth Phase 2 review.[1] The FCA concluded that Soditroy and the E. Leclerc’s proposed acquisition of joint control over a Géant Casino hypermarket around the city of Troyes raised serious competition concerns.

On August 17, 2020, the Commission conditionally approved Mastercard’s acquisition of Nets’ payment application division, following a Phase I review (“the Transaction”).[1] The Commission reviewed the Transaction following a referral by the Danish Competition and Consumer Authority, and ultimately identified competitive concerns in an EEA-wide market for account-to-account core infrastructure services (“A2A CIS”) in relation to managed solutions that required the transfer of the overlapping business to secure Phase I approval.

On August 17, 2020, the General Court ordered the Commission to pay EUR 270,250 in recoverable costs to UPS.[1] UPS’ application for costs followed its successful 2017 action for annulment of the Commission’s January 30, 2013, veto of UPS’ takeover of TNT.[2]

On July 23, 2020, the FCA published its new guidelines on merger control[1] (the “Guidelines”), which came into effect on the same day and therefore replaced the previous guidelines issued in 2013.

On July 6, 2020, the FCO approved the acquisition of online dating platform provider The Meet Group Inc. (USA), active on the German market through its mobile dating app Lovoo GmbH (“Lovoo”), by the ProSiebenSat.1 Media SE (“ProSiebenSat.1”) group, which owns online dating platforms from Parship and Elite Partner.[1]

In a judgment issued in a simplified form on June 4, 2020,[1] the Council of State quashed the TAR Lazio judgment that had overturned the ICA decision of May 20, 2019, concerning the acquisition of sole control of R2 S.r.l. (“R2”) by Sky Italia S.r.l. (“Sky”).[2] The judgment  was given on the merits of the case although  it was adopted within the interim phase of the proceedings, pursuant to Article 60 of the Italian Administrative Proceedings Code. The parties were not previously informed of the Council of State’s decision to provide its final judgment in  this phase, based on a temporary rule introduced during the Covid-19 emergency that enables the court to omit any advanced notice of this decision.

On 13 November 2020, the Competition Appeal Tribunal (CAT) partially upheld JD Sports’ appeal against the CMA’s decision to prohibit its completed acquisition of Footasylum requiring it to fully divest Footasylum.[1] The CMA found that the parties were close competitors in sports-inspired casual clothing and footwear in stores and online. The CMA concluded there was no evidence that the impact of COVID-19 would remove its competition concerns.