The Dutch Authority for Consumers and Markets (ACM) wants to conduct additional research into the acquisition of Unox by Zwanenberg Food Group. The competition watchdog fears that Zwanenberg will gain too much market power and, as a result, excessively increase prices of, for example, smoked sausages.
The acquisition was announced at the end of last year and means that Zwanenberg will henceforth market Unox products. Unilever is still doing that now, but the food concern wants to get rid of it.
Zwanenberg already makes many smoked sausages that supermarkets sell under their own brand. Therefore, the ACM thinks that too little competition will remain if it approves the acquisition. As a result, customers could face very high prices for the popular sausages. The regulator has therefore decided to conduct additional research.
Incidentally, Zwanenberg already produces many Unox smoked sausages, but the sale to supermarkets is still in the hands of Unilever. The deal would also transfer the trademark rights and sales activities to the company from Almelo.