1) MOC Rejects Coca Cola’s Merger Control Application for Acquisition of China Huiyuan Juice Group Ltd.(March 18,2009)
On March 18, MOC makes a statement that it has rejected Coca Cola’s merger control application for acquisition of China Huiyuan Juice Group. This is the first merger control application rejected by MOC since the Anti-Monopoly Law coming into effect.
According to Anti-Monopoly Law, MOC has taking the factors into consideration in this case, such as the impact on market share and control, the level of market concentration, the concentration on market entry and technology advancement, the concentration on consumers and related business operators and the market effect of Huiyuan brand. After the review, MOC decided that this acquisition would have an adverse impact on competition in the relevant market.
It takes about 1month for MOC to finish its first review and 3 months to decide on this case.
2) MOC Approves Mitsubishi Rayon’s Merger Control Application for Acquisition of Lucite with Conditions(April 24,2009)
On April 24, MOC made a statement that it has conditionally approved Mitsubishi Rayon merger control application fir the acquisition of Lucite International Group.
MOC has taking the following factors into consideration in this case, such as relevant market and competition, decides the concentration would have minor impact on the relevant product market and the merger would have an adverse impact on competition in China’s market. But MOC hold the belief that the proposal submitted by the applicants is enough to eliminate the adverse effect.
MOC approves the merger on the condition of production capacity strip-off and independent operation before the completion of the strip-off. Without approval of MOC, Mitsubishi Rayon shall not conduct any acquisition or building new factories after Merger.