11.02.2025 | Norwegian competition authority
The Norwegian competition authority, Konkurransetilsynet, has decided to allow the merger between Vy and Flytoget, two companies that provide train transport between Drammen and Oslo Airport. Initially, there were concerns that the merger could significantly impede competition in the market.
In December, the authority notified Vy and Flytoget of its intention to potentially prohibit the merger due to worries about competition in the train transport sector. However, after a thorough investigation, the authority found insufficient evidence to support claims that the merger would hinder effective competition.
Both Vy and Flytoget are currently the only providers of train transport on the route between Drammen and Oslo Airport, which necessitated a detailed assessment of the merger's implications. The authority considered various factors, including the impact on competition and the bidding market for train services.
Project leader Fredrik Sortland emphasized that the companies' train services are regulated by agreements with the Norwegian Railway Directorate, which limits their ability to alter service offerings post-merger. This regulatory framework played a significant role in the authority's decision.
Ultimately, the authority concluded that there were no substantial grounds to believe that the merger would significantly hinder effective competition, leading to the decision to allow the merger to proceed.
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