Decision Nº M/03/021 from Competition and Consumer Protection Commission, 2003-07-17

• Jurisdiction: Ireland
• Parties: L.E. Pritchitt & Co. Limited,Lakelands Dairies Co-Operative Society
• Submitted Date: 20 July 2003
• Date: 17 July 2003
• Decision Date: 17 July 2003
• Status: Cleared (Phase 1)
• Court: Competition and Consumer Protection Commission (Ireland)
• Decision Number: M/03/021

Determination of the Competition Authority

Determination No. M/03/021 of the Competition Authority, dated 17th July 2003,

under Section 21 of the Competition Act, 2002

Notification No. M/03/021 – Acquisition by Lakeland Dairies Co-operative

Society Limited of L.E. Pritchitt & Company Limited

Introduction

1. On 20th June 2003 the Competition Authority, in accordance with Section 18 (1)

of the Competition Act, 2002 (“the Act”) was notified, on a mandatory basis, of a

proposal whereby Lakeland Dairies Co-operative Society Limited (“Lakeland

Dairies”) would acquire the entire issued share capital of L.E. Pritchitt &

Company Limited (“Pritchitts”).

The Parties

2. Lakeland Dairies is Ireland’s fourth largest dairy co-operative with registered

offices at Killeshandra, County Cavan. Its three business units comprise food

services, butter & milk powders, and agri-trading. Its food services division

produces such products as Ultra High Temperature (“UHT”) milk, mini-pots

(one-pack coffee whiteners usually containing UHT milk) and ice-cream. Its

butter & milk powders division produces a range of butter and milk powders.

The activities of the agri-trading division include the production of animal

foodstuffs.

3. Pritchitts is a UK based business which operates a dairy processing facility in

Northern Ireland. It produces a range of UHT products, mini-pots, dairy and

non-dairy creams and milk powders.

Analysis

4. There is some overlap in the products produced by the parties, namely mini-pots,

milk powders and long-life ice-cream and milk shake mixes. These products are

produced mainly for export, and market investigations have indicated that the

geographic market is worldwide, or at least European wide.

5. The parties’ estimated combined share of the manufacture and supply of minipots

in the Republic of Ireland is [10–15]%. As there are a number of strong

European competitors active in the manufacture of minipots, the proposed

acquisition does not give rise to concern.

6. The parties’ estimated combined share of the manufacture and supply of milk

powders in the Republic of Ireland is [10-15]%. As well as strong European

competitors, a number of large Irish competitors are active in the manufacture of

milk powders. Therefore the proposed acquisition does not give rise to any

concern.

7. With regard to ice-cream and milk shake mixes, the parties estimated combined

market share in the Republic of Ireland is less than [0-5]%.

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