October 12, 2006

Merger between two top Norwegian processors gets the go-ahead

Norway has overturned an attempt to block a merger between two leading Norwegian meat and poultry processors.

A previous ruling from the Competition Board blocked the merger between Norway's cooperative meat processor Gilde and poultry meat and egg processor, Prior.

The original board ruling feared the merger would weaken competition in the market and result in higher prices for the consumers.

Gilde and Prior would now form a new company named Nortura BA, but the company's products would still be marketed under their respective brands.

The new entity is expected to complete its merger by the middle of November.

Nortura BA would have a total of 7,000 employees in 41 municipalities across Norway.