European Commission Approves Acquisition of Greenstar Holdings

Under the European Union Merger Regulation, the European Commission (EC) has authorized the proposed acquisition of joint control over Greenstar Holdings Ltd., in England and Wales, as well as its subsidiaries, by two investment companies, U.K.-based Montagu Private Equity LLP and U.S.-based Global Infrastructure Partners.
In making the ruling, the EC concluded that the proposed transaction would not significantly reduce competition in the European Economic Area.

Greenstar, the parent company of the Greenstar Group, provides waste management and recycling services throughout the U.K.

Montagu and GIP jointly hold a controlling interest in the U.K.-based waste management firm Biffa Group Ltd.
In making the determination, the EC examined the horizontal overlaps between Greenstar and Biffa on the U.K. market. Its investigation determined that the proposed merger would not close off the market to competition due to the high number of competitors with generally low market shares.

Taking into account the relatively low market shares of both Biffa and Greenstar the EC also determined that the proposed transaction does not raise vertical concerns.