One of the country’s biggest oil traders, East Cork Oil, has abandoned a plan to take over a Kerry-based competitor following scrutiny by the Competition and Consumer Protection Commission (CCPC).
At the end of March, ast Cork Oil announced the proposed acquisition of Misty Lane Holdings and a number of its subsidiaries.
East Cork Oil distributes fuel products in Munster, Leinster and Connac ht has a network of 32 company-owned depots and eight filling stations.
Products sold include heating oil, agricultural diesel, marine diesel and motor fuels. The customer base includes household customers, farmers, and freight forwarders.
Misty Lane is the parent company of trading stocks Atlantic Oils and Geaney Oil.
It distributes fue l Products mainly in Co Kerry through three depots. The two units sell house Fuel oil, diesel and sulfur-free gas oil and other products.
East Cork Oil is owned by a British Virgin Islands based company and is unlimited so there are no public accounts to file.
It is controlled by Desmond Hurley.
Misty Lane Holdings is controlled by Brendan and Norrie Horgan.
The holding company’s latest publicly available financial statements show that it achieved sales of 35 million euros and a pre-tax profit of 657,000 euros in the year to the end of June 2021.
On 11/25 CCPC has provided assessments of the proposed acquisition to both parties as part of the merger review process.
In its assessment, the CCPC came to the preliminary conclusion that the Proposed Acquisition would likely have resulted in a significant reduction in competition in certain geographic markets around certain depots in relation to the supply of kerosene to small customers and the supply of sulphur-free gasoil to small customers and supplying road diesel to small customers.
“East Cork Oil has informed the CCPC that it does not agree with the CCPC’s preliminary conclusions in its assessment,” the watchdog said in a statement yesterday.
It said the firm pulled out of the proposed deal on Monday after seeing the conclusions of the CCPC assessment.
https://www.independent.ie/business/east-cork-oil-abandons-kerry-acquisition-after-competition-probe-42217049.html East Cork Oil abandons Kerry takeover after competition investigation