Press Release: Mergers: Commission approves Glatfelter take-over of Crompton’s Lydney paper mill

The European Commission has approved under the EU Merger Regulation the proposed takeover of Crompton’s Lydney paper mill by Glatfelter of the US. The Commission undertook an in-depth investigation to verify whether the proposed acquisition would create a dominant market player with the ability to restrict production of so called ‘wetlaid fibre materials’ (used inter alia to make tea bags) and drive up prices in the industry (see IP/06/1228) However, the market investigation has shown that several competitors are active in the relevant market for wetlaid fibre for tea and coffee filtration, which is still growing. The Commission has therefore concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or a significant part of it.