UK turkey merger approved by OFT
The merger of UK turkey producers Bernard Matthews and Lincs Turkeys has been cleared by the Office of Fair Trading (OFT).
Bernard Matthews, the UK’s largest turkey producer acquired Lincs Turkeys in May and it was thought that as a result Bernard Matthews might have too large a share of the turkey market leading to a significant lessening of competition.
The OFT said it estimated that, with the acquisition, Bernard Matthews could have between 25% and 35% of the market for fresh seasonal whole turkeys and crowns, and between 55% and 65% of the frozen seasonal whole birds and crowns market.
Bernard Matthews argued that the merger would not lead to a substantial lessening of competition because the companies were not in close competition and that the combined businesses would still be constrained by imports of turkeys from abroad.
The whole OFT report can be found here
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