The Croatian Competition Agency (CCA) cleared the concentration between the undertakings Valamar Riviera from Poreč and Imperial Rab.
Both participants to the concentration are groups or hotel chains providing accommodation services in tourist facilities such as hotels, apartments and camp sites on a number of locations in Croatia.
Valamar provides these services in Primorje-Gorski Kotar County, Istra County and Dubrovnik-Neretva County, whereas Imperial Rab is in the same business only on the island of Rab.
The analysis carried out in the assessment of the concentration concerned indicated that it would produce effects only in the territory of Primorje-Gorski Kotar County.
The leading position of Valamar in the camp sites market in Primorje- Gorski Kotar County will be strengthened to 25 % to 30 % market share. At the same time it will take a leading position in the apartments’ rental market with up to 5 % market share, whereas in the hotel market it will keep the second place with 5 % to 10 % market share.
The market analysis showed that in all relevant markets in the territory of Primorje-Gorski Kotar County Valamar will be exposed to a significant competition constraint of the undertakings such as Jadranka, Liburnia Riviera Hotels, Cresanka and Hotel Punat.
However, it is important to point out that the implementation of the concentration in question will make Valamar the leader in the tourist accommodation and catering market in Croatia thus bringing the currently leading Lukšić Group on the second place.
Taking into account the number of competitors already present on the relevant markets in which this concentration will produce effects it is likely that the strengthening of the post-merger market positon of Valamar will at the same time strengthen competition.