The Portuguese Competition Authority blocks a merger in the market for passenger road and rail public transport service in spite of proposed remedies (ATMS - Arriva Transportes da Margem Sul / Barraqueiro SGPS - Arriva Investimentos SGPS)

The present concentration was the first decision from the Competition Authority (“AdC”) prohibiting a merger in Portugal. It was notified to the AdC on 22 November 2004 and consisted of the acquisition of joint control by Barraqueiro SGPS, S.A. (“Barraqueiro”) and Arriva Investimentos SGPS, S.A. (“Arriva”), of Arriva Transportes da Margem Sul, S.A. (hereinafter “ATMS”), by means of a share capital increase in ATMS. On 25 November 2005, the AdC issued a decision prohibiting the operation on the grounds that it was liable to create or strengthen a