Today the Bundeskartellamt has cleared plans by EG Group Limited, Blackburn/UK, which operates the ESSO service station network in Germany, to acquire the service station network of OMV Retail Deutschland GmbH, Burghausen after amendments to the proposed merger. 48 service stations of EG Group or OMV in southern Germany must be sold to other companies.

Andreas Mundt, President of the Bundeskartellamt: “Integrating all of OMV’s service stations into EG Group’s retail network would have worsened the competitive conditions in many regions in southern Germany. We have ensured that consumers in these regions will continue to have sufficient alternatives to the leading brand petrol stations. With the information provided by the Bundeskartellamt’s Market Transparency Unit for Fuels, consumers are able to easily compare prices. Using a fuel app to find the cheaper petrol stations pays off, especially in times when prices are high.”

EG Group operates 959 service stations in Germany under the “Esso” brand and along with BP (“Aral” brand), Shell and Total, is one of the leading petrol station operators in Germany. OMV’s service station network covers 285 petrol stations exclusively in southern Germany, mostly in Bavaria and Baden-Württemberg.

According to the Bundeskartellamt’s extensive investigations, an acquisition of OMV’s entire service station network would have increased concentration in the market in the regions of Stuttgart, Munich, Rosenheim, Bad Herrenalb, Weil am Rhein, Lindau am Bodensee and Passau/Bayerischer Wald. There would have been the risk of the merger creating or strengthening a joint dominant position of the leading fuel companies BP/Aral, Shell and EG Group in these regions.

However, in the other regions in which OMV operates service stations, a large number of other competitors are active with in some cases substantial market shares and different marketing strategies, especially with regard to pricing. Furthermore, the current market position of EG Group or OMV is weaker in some regions than in others.

The Bundeskartellamt cleared the merger under the condition precedent that 24 petrol stations of EG Group and 24 OMV petrol stations in the problematic market areas first be sold to third companies. The Bundeskartellamt must approve these companies prior to them acquiring the petrol stations

The proposed merger had initially been notified to the European Commission. In July last year the Commission referred the project to the Bundeskartellamt for examination at the latter’s request