TWO INVESTIGATIONS LAUNCHED INTO THE SECURITY SERVICES SECTOR FOLLOWING ACQUISITIONS BY SICURGLOBAL
PRESS RELEASE
PRESS RELEASE
ANTITRUST AUTHORITY LAUNCHES TWO INVESTIGATIONS INTO MERGERS OF SECURITY SERVICE COMPANIES
SICURGLOBAL’s takeovers of METROPOL, SECURCONTROL, SECURCONTROL PSG and a Division of SAFE could have anti-competitive effects
The Italian Competition Authority, at its meeting on 6 March 2007, decided to launch two separate investigations into acquisitions by SICURGLOBAL, a security service firm.
These two proceedings specifically cover the acquisition of METROPOL, SECURCONTROL and SECURCONTROL PSG, which operate in the provinces of Macerata, Ascoli Piceno, Pesaro and Teramo, and the purchase, by way of Sicurpavia S.r.l., of SAFE’s division in the province of Pavia.
Taking into consideration that the markets involved in SICURGLOBAL’s takeovers are at the level of province, the Authority observes that in four provinces out of five the purchases would create an entity having a market share of between 45 and 55 percent, which may have anti-competitive effects. This very high percentage could result in a dominant position, given the significant regulatory barriers in this area of business that make it difficult to obtain new authorizations, to hire new staff or to use price as a lever.
Rome, 9 March 2007