Office approves dairies merger

10 Aug 2007

The Office for the Protection of Competition has cleared the proposed acquisition of Czech dairies Moravskoslezske mlekarny a.s. and Mlekarna Klatovy a.s. by B.S.A. INTERNATIONAL of Belgium.

B.S.A. INTERNATIONAL is holding company of French LACTALIS Group. The Office stated in its decisions that neither of these acquisitions is likely to create or strengthen dominant position, therefore the transactions wouldn´t impede effective competition in the Czech Republic.

Merged entity will be active on the milk purchase market and on the processed and hard cheese, curd, yoghurt, cream and sour milk products markets, but it will still face a number of strong competitiors, among others MADETA a.s., OLMA, a.s., Mlakarna Hlinsko, s.r.o., Danone a.s.

External Relations Department