WARSAW, Poland – Poland’s Office of Competition and Consumer Protection (UOKiK) gave final approval of Smithfield Foods Inc.’s acquisition of Polish meat processor Pini Polonia a year after Smithfield and Pini Capital Group agreed to the deal.
The transaction initially was referred to the European Commission’s antitrust unit, which decided that the acquisition would impact only the Polish market for meat.
“The analysis of the effects of the concentration has shown that it will not restrict competition,” the UOKiK said in a statement. “Smithfield Foods will have to compete with other slaughterhouses, therefore there is no reason to worry that the entrepreneurs will lower the purchase prices of livestock, especially in view of the fact that prices on the domestic market are transparent. In the opinion of the Office, the concentration will not affect the access of small and medium market participants to large meat recipients (e.g. retail chains).”
Smithfield owns the Animex Group and nine meat production and processing plants, including three slaughterhouses in Poland, according to the agency.
Pini Capital Group is active in Poland, Italy and Hungary. The company operates a slaughterhouse in Kutno, Poland, in addition to acting as a supplier to retail outlets and further processing plants.