EU Commission clears the acquisition of sole control over Lotte UK by the Alfa group

The European Commission has approved, under the EU Merger Regulation, the proposed acquisition of sole control over Lotte Chemical UK Limited (“Lotte UK”) of the UK by DAK Americas Exterior, S.L. (“DAK Americas”) of Spain, ultimately controlled by Alfa, S.A.B. de C.V. (“Alfa Group”) of Mexico.

Lotte UK is active in the manufacture of polyethylene terephthalate (PET) resin. DAK Americas is part of the Alfa Group, an industrial conglomerate, active in a range of areas including polyester, plastics and chemicals, aluminium auto components, refrigerated foods, and IT & telecoms. The Commission concluded that the proposed transaction would raise no competition concerns given the limited horizontal and vertical overlaps between the activities of the companies. The transaction was examined under the simplified merger review procedure.