Tamedia/Edipresse: ComCo approves the merger of the two media companies
The two French-language commuter newspapers, *20 minutes* and *Le matin bleu*, are set to merge later this year. The Competition Commission has approved the merger of the Swiss operations of the French-Swiss publishing house Edipresse with Tamedia without any conditions.
The two French-speaking commuter newspapers 20 minutes and Le matin bleu are to merge this year. The Competition Commission has approved the merger of the Swiss activities of the French-speaking Swiss publishing house Edipresse with Tamedia without any conditions, the two companies announced. The media houses Edipresse and Tamedia now want to implement the merger as quickly as possible.
In a first step, Tamedia is to acquire 49.9 percent of the share capital of Presse Publications SR S.A. PPSR at the beginning of 2010, according to a press release. PPSR comprises the main Swiss media activities of Edipresse. In a second step, Tamedia will increase its stake by a further 0.2 percent at the beginning of 2011, according to SDA, and then acquire the remaining 49.9 percent in 2013. Edipresse will then acquire a stake in Tamedia. The title of the new commuter newspaper is still unclear.
The number of redundancies is also still unclear, as Tamedia spokesman Christoph Zimmer told SDA on Thursday. However, due to natural fluctuation over the past six months, there will be significantly fewer redundancies than expected. No further redundancies are planned.
The ComCo sees no competition law problem in the merger. Tamedia would not gain any market share in most markets as a result of the takeover, as the Competition Commission wrote in a statement on Thursday. In addition, there is no room for two commuter newspapers in the relatively small advertising market in French-speaking Switzerland in the long term anyway. The review also showed that no publisher was prepared to acquire Le Matin Bleu. In conclusion, "the requirements for proving the existence of a restructuring merger have been met", writes the Competition Commission.
A merger of the two media companies was already announced in March 2009 and justified with rapid structural changes in the media market. The new Tamedia-Edipresse group will be particularly strong in the daily print media. In addition to the free newspapers, it combines 12 paid daily newspapers with a total circulation of 700,000 copies. According to SDA, Edipresse will not contribute its international magazine business. The profitable western Swiss business magazine Bilan will be transferred to the international business.
In a first step, Tamedia is to acquire 49.9 percent of the share capital of Presse Publications SR S.A. PPSR at the beginning of 2010, according to a press release. PPSR comprises the main Swiss media activities of Edipresse. In a second step, Tamedia will increase its stake by a further 0.2 percent at the beginning of 2011, according to SDA, and then acquire the remaining 49.9 percent in 2013. Edipresse will then acquire a stake in Tamedia. The title of the new commuter newspaper is still unclear.
The number of redundancies is also still unclear, as Tamedia spokesman Christoph Zimmer told SDA on Thursday. However, due to natural fluctuation over the past six months, there will be significantly fewer redundancies than expected. No further redundancies are planned.
The ComCo sees no competition law problem in the merger. Tamedia would not gain any market share in most markets as a result of the takeover, as the Competition Commission wrote in a statement on Thursday. In addition, there is no room for two commuter newspapers in the relatively small advertising market in French-speaking Switzerland in the long term anyway. The review also showed that no publisher was prepared to acquire Le Matin Bleu. In conclusion, "the requirements for proving the existence of a restructuring merger have been met", writes the Competition Commission.
A merger of the two media companies was already announced in March 2009 and justified with rapid structural changes in the media market. The new Tamedia-Edipresse group will be particularly strong in the daily print media. In addition to the free newspapers, it combines 12 paid daily newspapers with a total circulation of 700,000 copies. According to SDA, Edipresse will not contribute its international magazine business. The profitable western Swiss business magazine Bilan will be transferred to the international business.
