REG - Competition and Mkts - Merger Update: Boparan / ForFarmers

ForFarmers NVAnnouncement

18/02/2025 08:30

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RNS Number : 4959X  Competition and Markets Authority  18 February 2025

CMA provisionally clears poultry feed merger

An independent inquiry group has provisionally cleared Boparan's deal to buy ForFarmers' Burston and Radstock feed mills in an interim report published today.

The Competition and Markets Authority's (CMA) independent inquiry group has
provisionally cleared Boparan's proposed purchase of ForFarmers' Burston and
Radstock feed mill sites, following an in-depth Phase 2 investigation.

ForFarmers and Boparan (through 2Agriculture) both manufacture and supply
chicken feed and other types of poultry feed in the UK.

The inquiry group's investigation has provisionally found that Boparan's
purchase of ForFarmers' Burston feed mill site could reduce the capacity
available to manufacture chicken feed for chicken suppliers in the area around
the mill in East Anglia. However, these suppliers will still have choice and
the option to switch providers due to competition from other chicken feed
providers in the market. Therefore, the inquiry group does not believe the
merger would lead to a substantial lessening of competition as a result.

Kirstin Baker, chair of the independent inquiry group, said:

"Having assessed the evidence, we have provisionally found that Boparan's
purchase of ForFarmers' Burston feed mill does not raise competition concerns.
We're reassured by the evidence which shows that farmers and chicken suppliers
in the UK will continue to have options when it comes to choosing chicken feed
providers, should the deal go ahead.

"We're now seeking feedback and views on our interim report before reaching a
final decision."

The independent inquiry group will now consult on its interim report and is
inviting any feedback from interested parties by Tuesday 11 March 2025. A
final decision will be made by the statutory deadline of 13 May 2025.

For more information, visit the Boparan / ForFarmers
(https://www.gov.uk/cma-cases/boparan-slash-forfarmers-burston-and-radstock-mills-merger-inquiry)
(https://www.gov.uk/cma-cases/boparan-slash-forfarmers-burston-and-radstock-mills-merger-inquiry)
(Burston and Radstock mills
(https://www.gov.uk/cma-cases/boparan-slash-forfarmers-burston-and-radstock-mills-merger-inquiry)
) case page.

Notes to Editors:

1.   ForFarmers is a European manufacturer and supplier of animal feed,
based in the Netherlands. 2Agriculture, a subsidiary of Boparan, is one of the
UK's largest suppliers of poultry feed and supplies feed to Hook 2 Sisters, a
company affiliated with Boparan, as well as farmers on the open market.

2.   At the Phase 1 investigation stage, the CMA concluded that Boparan's
purchase of the Radstock feed mill site does not raise competition concerns
and the sale of this mill has completed.

3.   The CMA has a statutory duty to promote competition for the benefit of
consumers and assesses each case on its individual merits. This includes a
duty to investigate mergers that could raise competition concerns in the UK
where it has jurisdiction to do so. In this case, the CMA has concluded that
the CMA has jurisdiction to review this merger because a relevant merger
situation has been created: each of Boparan and ForFarmers' Burston and
Radstock feed mills is an enterprise that will cease to be distinct as a
result of the merger and the turnover test is met.  More information on the
CMA's mergers jurisdiction and procedure can be read on its guidance page
(https://www.gov.uk/government/publications/mergers-guidance-on-the-cmas-jurisdiction-and-procedure)
.

4.   All media enquiries should be directed to the CMA press office by email
on press@cma.gov.uk (mailto:press@cma.gov.uk) , or by phone on 020 3738 6460.

 

 

 

 

 

 

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