Rontec Submits Undertakings to Sell Petrol Station in Haverfordwest
The OFT has accepted undertakings from Rontec Investments to sell the Total Crossways petrol forecourt in Haverfordwest.
The undertakings address the OFT’s competition concerns regarding the retail supply of fuel in the Haverfordwest area after Rontec bought the UK operations of Total earlier this year. The merger will, therefore, not be referred to the Competition Commission.
The OFT has publicly consulted on the undertakings and the identity of the proposed buyer, Dragon Service Stations Limited. It has not received any representations and therefore concluded that the undertakings are appropriate to remedy the competition concerns it identified in its decision of 20 October 2011.
Amelia Fletcher, OFT Chief Economist and decision maker in this case, said: “This sale will ensure that drivers in Haverfordwest will continue to benefit from competition when buying their fuel.”
Under the Enterprise Act 2002 a relevant merger situation is created if two or more enterprises have ceased to be distinct enterprises; and the value of the turnover in the United Kingdom of the enterprise being taken over exceeds £70 million; or as a result of the transaction, in relation to the supply of goods or services of any description, a 25 per cent share of supply in the UK (or a substantial part thereof) is created or enhanced.
Undertakings in lieu of reference – under section 73 of the Enterprise Act 2002 the OFT may, instead of making a reference to the Competition Commission, and for the purpose of remedying, mitigating or preventing the substantial lessening of competition concerned, or any adverse effect which may be expected to result from it, accept from such of the parties concerned as it considers appropriate undertakings to take such action as it considers appropriate.
The OFT is required to consult publicly before accepting any such undertakings.
The undertakings took effect January 9, 2012.