GENERALI-TORO: ANTITRUST AUTHORITY WRITES TO BRUSSELS OVER COMPETENCY TO ASSESS THE MERGER
PRESS RELEASE
PRESS RELEASE
GENERALI-TORO: ANTITRUST AUTHORITY WRITES TO BRUSSELS OVER COMPETENCY TO ASSESS THE MERGER
The Italian Competition Authority, at its meeting on 8 August 2006, decided to accept the request forwarded by the European Commission to refer assessment of the Generali-Toro merger to it. Indeed, the Authority believes it is in an ideal position to assess this operation.
In its letter to Brussels, the Authority observes that the Generali Group is the number one insurer in Italy, having a particularly high market share both in life assurance and in general branch insurance. The Toro Group operates almost exclusively in Italy where it is number five in general branch insurance (but holds under 1% of the life assurance market) and has a highly developed agency network. Furthermore, following the merger the Generali Group will see its leadership position strengthened in numerous national general branch markets.
The letter also points out that a complete evaluation of the operation requires consideration of the particular context of the different general insurance markets which have already been the subject of numerous interventions by the Authority.
On 21 July, on the basis of Article 4 of EC Regulation no. 139/2004, the Commission had forwarded a request made by the parties for the matter to be referred to the Italian Authority. The final decision on jurisdiction now lies with the Commission.
Rome, 9 August 2006