France’s competition watchdog has given the green light to poultry giant LDC’s acquisition of smaller rival Groupe Arrivé – but only if the company offloads certain assets.
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In a statement issued yesterday (24 November), France’s Autorité de la Concurrence said LDC must sell Arrivé arm Fermiers Landais to protect competition among poultry suppliers in the west and south-west of the country.
Fermiers Landais owns the Saint-Sever brand and the watchdog said LDC had “committed” to offloading the business to reduce its market share in branded chicken in the region.
LDC moved for Arrivé to boost its value-added business and its branded portfolio. Arrivé’s product range includes the Maître Coq brand and the company generates over EUR120m (US$180.8m) in sales of value-added lines.
LDC has also agreed to the competition watchdog’s request for the company to not grant discount to supermarket buyers on multiple types of chicken products.
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By GlobalDataThe watchdog said the undertaking was necessary to ensure that one company does not have gain an unfair foothold in the sale of breaded chicken, roast chicken and other cooked products.
French poultry firms Groupe Doux, Duc and Gastronome also operate in the category.
