The UK subsidiary of US-based Archer-Daniels-Midland Corporation (ADM) agreed the purchase of AOR N.V., a privately held oil bottling company, based in Belgium, back in March – but has been waiting for EC approval for the move.
AOR, along with its brands Oilio and Coroli, is a leader in the bottling and distribution of edible oils in Europe, with customers across the continent and a substantial export business, while ADM is a global agricultural company active in the production and sale of both, bulk and packed refined seed oil.
Currently, ADM distributes its packed oils to retail customers through its joint venture Edible Oils Limited - which has an exclusive distribution agreement with Princes Limited.
The Commission, which rules on antitrust issues in the European Union, said in a statement that it had concluded that the proposed takeover did not raise competition concerns because it did not have a huge impact on market share and because there were a number of strong players in a market with overcapacity.
“This acquisition will allow us to expand our product offerings and customer base in Europe, offering entry into the continental European retail and foodservice markets and an enhanced ability to export value-added products internationally,” said Matt Jansen, president of ADM’s Oilseeds Processing business at the time of the agreement announcement in March 2015.
“AOR is a leading company in the European packaged oils industry. It is a bolt-on acquisition that can be fully integrated into our operations, and offers excellent opportunities for profitable growth.”