UAB ELEKTROMARKTAS AUTHORISED TO ACQUIRE A HOLDING IN UAB BUTEKA

The Competition Council examined the notification on intended concentration filed by UAB Elektromarktas. The notifying company intends to acquire the 100 percent holding of UAB Buteka. The competition authority resolved to authorise the notified concentration deal having assessed it as vertical and horizontal deal which while changing the degree of concentration in the relevant markets will not create or strengthen any dominant position therein or cause any significant weakening of competition in the markets concerned.

Principal activities of UAB Elektromarktas include the wholesale and retail trade in audio, video and household equipment, and UAB Buteka – retail trade in electrical and household appliances. In its concentration notification UAB Elektromarktas indicated, referring to its growing turnovers and profits, its intentions to expand its activities in Lithuania, in particular in response to the increasing demand for video and household equipment. The acquisition of UAB Buteka that mainly operates in minor Lithuanian towns and regional centres is expected to strengthen the position of UAB Elektromarktas in its development plans by improving the distribution of merchandise around the country and will enable the company to maintain its market competitiveness and reduce the overall costs.