The Danish Competition Council has approved the merger between Nordea Bank Denmark and Fionia
25. november 2010
The Danish Competition Council (DCC) has approved the merger between Nordea Bank Denmark (Nordea) and Fionia Bank (Fionia) without remedies.
The DCC finds that the merger will not significantly impede effective competition significantly in the markets affected by the merger. The assessment is made on the basis of several studies into the areas retail banking, corporate banking, and financial market services.
Nordea is the second largest bank in Denmark and Fionia was the 11th largest bank in Denmark in terms of lending in 2008. Both banks are active in the areas retail banking, corporate banking, and financial market services.
The DCC has in dealing with the merger completed several market surveys, to make a thorough assessment of the merger's effects on the relevant markets. The investigations have focused on Danish banks' market share nationwide, local effects, and finally certain interbank services provided to smaller financial institutions.
After having examined the matter, the DCC considers that the merger will not lead to significant changes in market structures regarding the relevant markets.
The purpose of merger control is to prevent that mergers harm competition. It can cost consumers and other businesses dearly in terms of higher prices and poorer service. Therefore, competition authorities - even in a time of financial crisis - have to be thorough.
Additional information can be obtained from the Director General Agnete Gersing (+45 7226 8001) or Deputy Director General Christian Ølgaard (+45 7226 8002).