The European Commission has approved French container line CMA CGM’s plan to buy German short sea shipping operator Oldenburg-Portugiesische Dampfschiffs-Rhederei (OPDR). Both OPDR and CMA CGM (through its subsidiary MacAndrews) are active in intra-European short sea container shipping, including port-to-port as well as door-to-door activities. The EC concluded that the proposed take-over would raise no competition concerns in light of a number of factors. Firstly, the low switching costs for customers, who can also use alternative means of transport, such as road or rail. Secondly, the low barriers for new or existing competitors to enter or expand their services by adding new ships or new ports of call the intra-EEA short-sea shipping market; and thirdly, the low overall size of the affected markets. The transaction was examined under the ordinary EU merger review procedure. OPDR owns and operates a fleet of eight container ships ranging in capacity from 690 TEU to 1,008 TEU, as well as two 500 TEU/885lm Con/Ro ships. The ten vessels, built from 2002 to 2008, operate on routes linking ports in North Europe, the Iberian Peninsula, Portugal, the Canary Islands and Madeira, as well as Northern and Western Africa. The company also owns about 10,000 containers of different types. -Source: worldmaritimenews.com
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The European Commission has approved French container line CMA CGM’s plan to buy German short sea shipping operator Oldenburg-Portugiesische Dampfschiffs-Rhederei (OPDR).
Both OPDR and CMA CGM (through its subsidiary MacAndrews) are active in intra-European short sea container shipping, including port-to-port as well as door-to-door activities.
The EC concluded that the proposed take-over would raise no competition concerns in light of a number of factors.
Firstly, the low switching costs for customers, who can also use alternative means of transport, such as road or rail.
Secondly, the low barriers for new or existing competitors to enter or expand their services by adding new ships or new ports of call the intra-EEA short-sea shipping market; and thirdly, the low overall size of the affected markets.
The transaction was examined under the ordinary EU merger review procedure.
OPDR owns and operates a fleet of eight container ships ranging in capacity from 690 TEU to 1,008 TEU, as well as two 500 TEU/885lm Con/Ro ships.
The ten vessels, built from 2002 to 2008, operate on routes linking ports in North Europe, the Iberian Peninsula, Portugal, the Canary Islands and Madeira, as well as Northern and Western Africa.
The company also owns about 10,000 containers of different types.
-Source: worldmaritimenews.com