Norway scuttles Eimskip’s acquisition of Nor Lines

The Norwegian Competition Authority has issued a decision blocking Icelandic ocean carrier Eimskip from purchasing asset-light shipping and logistics company Nor Lines due to a lack of sufficient competition in the transportation of frozen fish.    The Norwegian Competition Authority has issued a decision blocking Icelandic ocean carrier Eimskip Ltd.’s 15 million euro (U.S. $16.6 million) purchase of asset-light shipping and logistics company Nor Lines.
   The country’s competition watchdog blocked the deal on the basis that it would have “significantly impeded effective competition in the market for transportation of frozen fish with reefer vessels from Northern Norway to Northern Europe,” the agency said in a statement.
   Director General Lars Sørgard noted the two companies are close competitors and collectively hold a “substantial” market share.
   “The market for transportation of frozen fish with reefer vessels from Northern Norway to Northern Europe already has a low number of market players,” the authority said.
   “Our assessment is that an acquisition would result in reduced competition, which would make it possible for Eimskip to increase prices or reduce quality for its customers,” added Acting Director Øyvind Nilssen.
   Eimskip has the option to appeal the decision with the country’s newly established Competition Appeals Board.