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EC green-lights Kuehne + Nagel’s U.K. drinks distribution joint venture

EC green-lights Kuehne + Nagel’s U.K. drinks distribution joint venture

   The European Commission has cleared a drinks distribution joint venture between Kuehne + Nagel and the United Kingdom brewery group Scottish & Newcastle.

   The joint venture, KN Drinks Logistics, will initially handle distribution predominantly for Scottish & Newcastle products, before expanding to offer the same services to third parties.

   “The proposed formation of the joint venture will not raise competition concerns in the markets concerned, given the very limited horizontal and vertical relationships between the two parent companies and the likelihood that the joint venture will act as an increasingly strong competitor on the U.K. drinks distribution services market,” the EC said.