MERGERS: AMO SR approved concentration of NAY and Electro World

23.07.2014
On 17 July 2014 the Antimonopoly Office of the Slovak Republic, Division of Concentrations approved the concentration grounded in acquisition of exclusive direct control of the undertaking NAY a.s., Bratislava („NAY“), over the enterprises of the undertakings Electro World (Slovak Republic) („EW“), s.r.o., Bratislava a. s. and Electro World s.r.o., Praha, Czech Republic („EW ČR“).

In the course of the administrative proceedings the Office conducted market survey in order to obtain documents and materials necessary to identify relevant markets and assed the impacts of the concentration on the market. Within the survey the Office addresses several competitors of companies NAY and EW, namely DATART INTERNATIONAL, a.s. („DATART“), FAST PLUS, spol. s r.o. („FAST PLUS“), expert SK, k.s. („expert SK“), OKAY Slovakia, spol. s.r.o., („OKAY“), ANDREA SHOP, s.r.o., („ANDREA SHOP“), EURONICS SK, a.s., („EURONICS SK“), Alza.sk s.r.o., („Alza.sk“), Internet Mall Slovakia, s.r.o. (mall.sk operator) („mall.sk“ or „Internet Mall Slovakia“), Elektrosped a.s. (hej.sk operator) („Elektrosped“ or „hej.sk“) and Elsatex.

Activity of company NAY in the Slovak Republic is focused on sales of consumer goods in the field of electronics, including sale of consumer electronics, media, household appliances – small white goods, household appliances - large white goods, photo, information technologies and telecommunications (hereinafter only „electro consumer goods“). Company NAY realises sales of goods through a network of 31 stores and over the Internet in e-shops www.nay.sk and www.shoppie.sk. In addition to electro consumer goods it provides additional support services, such as sale of sport equipments, toys, books, garden appliances or tools, it provides financial products (instalment sale, insurance, extended warranty), installation services, transport of goods and marginally it also operates in the area of wholesale electro consumer goods.

Company EW operates in Slovakia through four retail stores of electro consumer goods and over the e-shop www.electroworld.sk. It provides additional and support services to these goods. It is not active in the area of wholesale.

Company Electro World s.r.o., is the company established according to the legislation of the Czech Republic. EW ČR acts through the retail network of 22 stores of electro consumer goods and also over e-shop www.electroworld.cz, only in the Czech Republic.
 
Business activities of the undertakings NAY and EW overlap mainly in the area of retail sales of electro consumer goods which both merging parties realise through sales in stores and through the internet sales.

In assessing the impact of merger on competition in the market of retail sales of electro consumer goods the Office assessed the position and operation of parties to the concentration, the presence and nature of competitors and other related facts, also in the context of possible wider alternatives of relevant markets, i.e. retail sales of electro consumer goods as well as narrow alternatives of relevant markets, i.e. in terms of particular segments of goods and distribution channels (stores and internet sales). The Office did not define the relevant markets as no competition concerns have been identified for any of possible alternatives. The Office has been ascertaining the position of companies NAY and EW, nature and structure of market prior to and after the concentration in the view of:

- retail sales of electro consumer goods, i.e. regardless the distinction between the distribution channels and segments in the territory of SR;
- retail sales of electro consumer goods by individual segments (product groups) regardless the distinction between the internet sales and sales in stores (in the territory of SR);
- retail sales of electro consumer goods sold over internet regardless the distinction between individual segments of goods and also regarding such distinction (in the territory of SR);
- retail sales of electro consumer goods sold through stores within individual segments and globally (in the territory of SR);
- retail sales of electro consumer goods within the local operation of parties to the concentration.

Evaluating all acquired documents and materials the Office did not identify the competition concerns resulting from the merger and approved the merger.

Decision came into force on 17 July 2014.
 
 
Last update:23.07.2014