Turkey’s Competition Board has conditionally approved Yeni Mağazacılık AŞ’s (A101) acquisition of sole control of CarrefourSA Carrefour Sabancı Ticaret Merkezi AŞ, after concluding that commitments offered by A101 would address competition concerns, according to Turkey’s Competition Authority.

The regulator said its July 30 decision found the transaction could significantly restrict competition in the country’s organized fast-moving consumer goods retail market. However, it authorized the deal after determining that A101’s proposed remedies were sufficient and proportionate.

Under the conditions, A101 must divest 48 stores, including 10 A101 outlets and 38 CarrefourSA locations, in areas where the authority identified competitive concerns. CarrefourSA will also continue operating under a separate organizational structure, with independent management responsible for day-to-day commercial activities.

The commitments also include efforts to maintain employment levels for three years, annual support for at least 75 small and medium-sized enterprises or local suppliers, and initiatives to promote local products, according to the Competition Authority.

The authority said the commitments are binding and that failure to comply could result in daily administrative fines under Turkey’s competition law.

Source: Rekabet