The Croatian competition authority, AZTN, has officially rejected the merger notification submitted by Iskra Shipyard 1 d.o.o. for the acquisition of 3. MAJ Rijeka 1905 d.o.o. The decision was made because the revenue thresholds required for merger assessment were not cumulatively met.

The merger notification was received on February 4, 2026, and it involved Iskra Shipyard seeking to gain direct control over 3. MAJ Rijeka. According to the relevant competition law, the authority examined whether the conditions for the obligation to notify the merger were satisfied.

Upon reviewing the submitted documentation and financial reports for the year 2024, AZTN determined that the relevant year for assessing the revenue thresholds was indeed 2024. The total consolidated revenue of all participants in the merger on the global market for that year was reported at €274,703,000, which met the first revenue threshold.

However, the revenue of the target company, 3. MAJ Rijeka, from sales in the Croatian market was only €1,414,376.30, significantly below the legally required threshold of €13,272,280.84. Additionally, for 2025, the submitted financial statements did not meet the required revenue threshold either.

As a result, the authority concluded that the conditions for the obligation to notify the merger were not cumulatively fulfilled, and therefore, the merger could not be evaluated for its permissibility. Consequently, the merger notification has been deemed rejected.

The full text of the decision, excluding business secrets, will be published on the AZTN website.