NMa rules that Veolia-Transdev joint venture requires a license

The concentration between public transport companies Veolia Transport and Transdev (through its subsidiary Connexxion) may have a significant impact on the markets of public transport and private taxi services in the Netherlands. The Netherlands Competition Authority (NMa) has come to this conclusion after said concentration was referred to it by the European Commission after its preliminary investigation. That is why the NMa has ruled that the planned concentration requires a license. It will be conducting a thorough investigation into the effects on competition first, before deciding on whether or not it will grant the license.

If the aforementioned parties indeed apply for a license, the NMa must decide within 13 weeks whether or not it approves the concentration. When reviewing mergers and acquisitions, the NMa assesses whether effective competition in the market is significantly impeded, particularly when a dominant position is created or strengthened. Such a dominant position can have negative effects on the price, quality and product selection in the market. In such a case, the NMa could attach conditions to the concentration, or it could disapprove it.