The Georgian Competition and Consumer Agency (GCCA) has approved the acquisition of 100% of the shares of "German Cement Ltd" by N/P "Emin Uchari" as compatible with the competitive environment. Based on the information analyzed by the Agency, it has been determined that the companies involved in the concentration and their affiliated companies operate in separate markets. Therefore, the Agency's assessment concludes that the concentration will not significantly affect the relevant market and is in line with a competitive environment.
The Georgian Competition and Consumer Agency has approved the concentration in the fast-moving consumer goods (FMCG) market. The case concerns the concentration implemented by CHG & CO Ltd (Cyprus) through the acquisition of 50% of “Shaba” Ltd (I/N 406104549). The Agency found that in 2023, up to 12,000 companies were engaged in economic activity nationwide at the retail level of the FMCG market. At present, the Herfindahl-Hirschman Index of Market Concentration (HHI) is 399 units. At the wholesale distribution level, the concentration index of the FMCG market is the Herfindahl-Hirschman index HHI=428.52, indicating a low concentration market. Based on the assessment conducted, the implemented concentration does not have a significant impact on the relevant market and is compatible with the competitive environment.
The Georgian Competition and Consumer Agency has approved the acquisition of a 100% share of “Foodmart” Ltd (I/N 404460187) by "Daily" Ltd (I/N 406088638) in the fast-moving consumer goods (FMCG) market. After analyzing the information, the Agency found that approximately 12,000 companies were involved in economic activity in the FMCG retail market in 2023. At present, the market concentration index (HHI) is 399 units. Following the acquisition, the HHI will increase to 445 units, resulting in a change of ΔHHI= 46. The Agency's assessment indicates that the market is low-concentrated, and the acquisition will not significantly change the concentration index.
The Georgian Competition and Consumer Agency has approved the acquisition of a 30% share of "Daily" Ltd (I/N 406088638) by “Holding.ge” Ltd (I/N 205116060) in the fast-moving consumer goods (FMCG) market. After analyzing the information, the Agency found that approximately 12,000 companies were involved in economic activity in the FMCG retail market in 2023. At present, the market concentration index (HHI) is 399 units. Following the acquisition, the HHI will increase to 445 units, resulting in a change of ΔHHI= 46. The Agency's assessment indicates that the market is low-concentrated, and the acquisition will not significantly change the concentration index.
The Agency approved the concentration implemented by JSC "Georgian Beer Company" with the purchase of 100% share of "Zedazeni 2012" LLC. According to the materials received and processed by the agency, it was established that in 2023, 215 companies operated in the non-alcoholic beverages market, the market volume was 464,757,669 liters, and the HHI index of market concentration was 2,590. As for the beer market in the same year, there were - 75 companies, market volume was 90 532 597 liters, and market concentration - HHI index - 1888. According to the Agency's assessment, the non-alcoholic beverages market is highly concentrated, although the concentration index slightly exceeds the maximum value of the moderately concentrated market index (2250). The beer market is moderately concentrated, and the distribution services market is low concentrated. Considering the above, according to the decision of the Agency, the implemented concentration does not have a significant impact on the relevant market and is compatible with the competitive environment.
The Georgia Competition and Consumer Protection Agency has approved the concentration, which will be implemented through the formation of a joint venture in the retail and wholesale trade of petroleum products by Ucha Lursmanashvili, Shalva Khukhashvili, and Nodar Khukhashvili. The concentration relates to the retail and import markets for auto fuel (gasoline and diesel). The volume of the retail market at the national level in 2023 amounted to 1,397,855 thousand liters, , with 383 businesses operating in the retail market and 1,211 gas stations. The Herfindahl-Hirschman index (HHI) of 1,132 indicates a low concentration market. Concentration causes the Herfindahl-Hirschman index (HHI) to be 1/163, with an index change (ΔHHI) of 31. In 2023, the relevant market's import concentration index (HHI index) was 1,167 units. After the the implementation of the concentration, taking into account the amount of fuel imported by the target and connected industries in 2023, the concentration index is predicted to rise by 18 units to 1,185. As a result, the planned concentration has no substantial impact on the relevant market's concentration index.
According to the Agency, the acquisition of a 51% share of "International Black Sea University” by natural person Gia Kavtelishvili is considered admissible in the higher education sector, which includes 62 accredited universities and a total of 157,885 active students. The market concentration index (Herfindahl-Hirschman index) before the acquisition was 596.24 units, indicating a low-concentration market. After the acquisition, the index increased to 660.4 units, with a change in concentration index (ΔHHI) of 64.1 units. Despite this change, the Agency's assessment concludes that the acquisition will not significantly impact the competitive environment of the relevant market.
According to the Agency, the acquisition of a 49% share of "International Black Sea University” by natural person kakha Shengelia is considered admissible in the higher education sector, which includes 62 accredited universities and a total of 157,885 active students. The market concentration index (Herfindahl-Hirschman index) before the acquisition was 596.24 units, indicating a low-concentration market. After the acquisition, the index increased to 660.4 units, with a change in concentration index (ΔHHI) of 64.1 units. Despite this change, the Agency's assessment concludes that the acquisition will not significantly impact the competitive environment of the relevant market.
The Agency approved the concentration to be implemented by JSC " Georgian Healthcare Group" by the acquisition of 100% of the insurance portfolio of "Ardi Insurance". According to the Agency's assessment, as a result of the implementation of the concentration, the joint market share of the participating parties and their related companies in the medical insurance market will increase to 35.6%, and in the auto insurance market to 28.1%. In both circumstances, the market concentration index is within the range of a moderately concentrated market. In addition to market share, the Agency assessed the medical insurance market, taking into account various parameters such as market structure, and concluded that the concentration to be implemented does not significantly restrict effective competition and is compatible with the competitive environment.
The National Competition Agency approved the concentration between Ioseb Tatarashvili and LLC "Charm Trading", recognizing it as admissible concentration. The Agency evaluated the competitiveness of the relevant market by assessing both the level of imports and the wholesale and retail supply. According to the Agency's decision and based on the assessment, it was determined that the relevant market is low-concentrated and that the concentration would not significantly change the concentration index.
