News
The Danish Competition Council has approved Polaris Private Equity IV K/S’ acquisition of the bus companies Egons A/S, Larsenbus ApS, Papuga Bus A/S, and Papuga A/S
On 23 March 2021, the Danish Competition and Consumer Authority (hereinafter “DCCA”) received a complete notification of Polaris Private Equity IV K/S’ (hereinafter “Polaris IV”) acquisition of sole control of Egons A/S (hereinafter “Egons”), Larsenbus ApS (hereinafter “Larsenbus”), Papuga Bus A/S (hereinafter “Papuga Bus”), and Papuga A/S (hereinafter “Papuga”).
Polaris IV is a part of the private equity fund Polaris Private Equity, which is owned by institutional investors and is advised by Polaris Management A/S.
Egons offers bus transport, including commercial bus transport, transport abroad, and transport for the disabled. In addition, they offer bus transport to ski destinations for private individuals through SneXpressen and travel through the travel agency Egons Rejsebureau.
Larsenbus offers bus transport, including commercial bus transport, transport abroad and transport for public authorities.
Papuga Bus offers bus transport, including commercial bus transport, transport abroad, transport for travel agencies, and transport for public authorities.
Papuga offers bus transport, including commercial bus transport, transport abroad, transport for travel agencies, and transport for public authorities. In addition, they offer various trips, including senior trips, active holidays and music tours.
Consequently, Egons, Larsenbus, Papuga Bus and Papuga are all active on the market for non-scheduled bus services and chartered bus services (tourist bus services). Following the merger, the merged bus company owned by Polaris IV will be the largest player on the market.
However, the DCCA assessed that the merger would not give rise to unilateral effects in the market for tourist bus services due to a number of specific conditions in the market. Among other things, customers have good opportunities to buy tourist bus services from competitors to the merged bus company, there are low barriers to entry and expansion in the market as competitors to the merged bus company are both able and willing to expand their activities, and the four merging bus companies are not close competitors before the merger.
Overall, the DCCA found that the merger would not result in a significant impediment to effective competition.
On 28 April 2021, the Danish Competition Council approved the merger.