EC Nixes CVC Takeover of Lenzing.(European Commission says no to CVC Capital Partners' Lenzing takeover)(Brief Article)(Statistical Data Included)

Chemical Market Reporter, October, 2001

THE EUROPEAN Commission has blocked a proposed takeover of Lenzing AG by CVC Capital Partners, the private equity company that already controls Acordis, the other major European viscose producer. After a four-month investigation, the Commission concluded that the deal would have created monopoly or dominant positions in several fiber sectors.

The review was carried out in close co-operation with the Federal Trade Commission (FTC) in the US, where Lenzing and Acordis have viscose and lyocell capacity. The Commission claimed that a merger of Leozing and Acordis would have had a European market share in commodity viscose of over 55 percent and over 80 percent in spun-dyed viscose and viscose for tampons. In the production and technology licensing of...

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