The Bundeskartellamt, Germany's competition authority, has concluded an administrative proceeding against Deutsche Post AG (DPAG) and Max Ventures regarding mail consolidation services. This decision follows the removal of corporate links between the two companies, which was necessary to address concerns about anti-competitive agreements.

The investigation, initiated in July 2023, aimed to assess the competitive dynamics in the German letter mail market, particularly given DPAG's dominant position. Andreas Mundt, President of the Bundeskartellamt, emphasized that mail consolidation is crucial for fostering competition among business customers. The presence of corporate ties between DPAG and Max Ventures was seen as a significant barrier to competition.

Mail consolidation services are designed to help business customers reduce mailing costs by collecting, pre-sorting, and transporting letters to DPAG mail centers. This process allows for the consolidation of mail volumes from various customers, enabling them to benefit from bulk discounts. DPAG's subsidiary, Deutsche Post InHaus Services GmbH, is the leading provider in this sector, while Max Ventures, through its subsidiaries Postcon Konsolidierungs GmbH and freesort GmbH, serves as its main competitor.

Previously, both companies held stakes in Compador Dienstleistungs GmbH, another mail consolidation service provider, which raised further competition concerns. In response to the Bundeskartellamt's investigation, DPAG has divested its shares in Compador, and the existing service agreement between DPAG and Max Ventures has been terminated. This separation is expected to facilitate a more competitive environment in the mail consolidation market.