NMa imposes fines for failure to notify of an acquistition on time

The Netherlands Competition Authority (NMa) has fined the Sofiprotéol group as well as the the Bunge group for failure to notify the NMa of a concentration on time. Both groups are active in the oilseed industry. The Sofiprotéol group is fined EUR 677.000 and the Bunge group is fined EUR 1,730,000.

In December 2009, the Bunge group transferred its shares in Saipol S.A.S to the Sofiprotéol group. As a result thereof, the Sofiprotéol group acquired full control over Saipol S.A.S.

According to the NMa, this transaction constitutes a concentration within the meaning of the Dutch Competition Act. The Sofiprotéol group informed the NMa of the transaction in February 2010, and officially notified the NMa thereof in April 2010. In May 2010, the NMa approved the acquisition.

Under the Dutch Competition Act, it is prohibited for undertakings to go ahead with a concentration (acquisition, merger or joint venture), above a certain turnover threshold, without having notified the NMa first of their intention to do so. This form of regulation in advance ensures that competition on the market is not affected before the NMa has been able to assess a concentration. The NMa imposes fines, because failure to notify of a concentration on time undermines concentration control.