Press Release: Mergers: Commission fines Electrabel 20 million euros for acquiring control of Compagnie Nationale du Rhône without prior Commission approval

The European Commission decided to impose a fine of 20 million euros on Electrabel, an electricity producer and retailer belonging to the Suez Group (now GDF Suez) for acquiring control of Compagnie Nationale du Rhône (CNR), another electricity producer, without having received prior approval under the EU Merger Regulation. The Commission concluded that the infringement lasted for a significant period and that Electrabel should have been aware of its obligation to receive Commission approval before proceeding with the acquisition. The EU Merger Regulation requires concentrations of a European dimension to be notified to the Commission before their implementation so that the Commission can examine whether a concentration would significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it. This is known as the 'standstill obligation'.

European Commission: MEMO/09/267: Mergers: Commission fines Electrabel 20 million Euros for implementing its acquisition of Compagnie Nationale du Rhône without prior Commission approval – Frequently Asked Questions http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/09/267&format=HTML&aged=0&language=EN&guiLanguage=en

---