CELEX: 32014M7140
Language: en
Date: 2014-07-04 00:00:00
Title: Commission Decision of 04/07/2014 declaring a concentration to be compatible with the common market (Case No COMP/M.7140 - SISTEMA / SEGEZHA PULP AND PAPER MILL) according to Council Regulation (EC) No 139/2004 (Only the English text is authentic)

|[pic]                             |EUROPEAN COMMISSION                                                                                      |
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                                        Brussels, 4.7.2014
                                        C(2014) 4832 final

|To the notifying party:                                            |                                                                   |
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Dear Madam(s) and/or Sir(s),

Subject:    Case M.7140 – SISTEMA/ SEGEZHA PULP AND PAPER MILL
           Commission decision pursuant to Article 6(1)(b) of Council Regulation (EC) No 139/2004[1]

   1. On 11 June 2014, the European Commission received notification of a proposed concentration pursuant to Article 4 and following  a  referral
      pursuant to Article 4(5) of the Merger Regulation by which the equity investment group Sistema JSF Corporation ('Sistema',  Russia),  which
      is ultimately controlled by Mr Vladimir Evtushenkov, intends to acquire within the meaning of Art. 3 (1)(b) of the Merger  Regulation  sole
      control of the undertakings  JSC Segezha Pulp and Paper Mill ('SPPM', Russia) and Limited Liability Company Derevoobrabotka-Proekt  ('DoP',
      Russia).

   2. The business activities of the undertakings concerned are:

         – for Sistema: investments in various sectors of the economy, including telecommunication, oil, electric power,  consumer  goods,  high
           tech and other industries;

         – for SPPM: manufacture and sale of kraft paper and paper sacks as well as products closely  linked  with  these  principal  activities
           such as manufacture and sale of wood pulp, cardboard, wood chemical products and certain timber products such as sawn timber, plywood
           and wood chips; and

         – for DoP: timber processing and forestry production, including activities in plywood, timber and certain timber products such as  wood
           chips and laminated beams[2].

 3. After examination of the notification, the European Commission has concluded that the notified operation falls within the scope of the Merger
    Regulation and of paragraph 5(b) of the Commission Notice on a simplified procedure for treatment of  certain  concentrations  under  Council
    Regulation (EC) No 139/2004[3].

 4. For the reasons set out in the Notice on a simplified procedure, the European Commission has decided not to oppose the notified operation and
    to declare it compatible with the internal market and with the EEA Agreement. This decision is adopted in application of Article  6(1)(b)  of
    the Merger Regulation.

                                        For the Commission
                                        (signed)
                                        Alexander ITALIANER
                                        Director General

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[1]   OJ L 24, 29.1.2004, p. 1 ("the Merger Regulation"). With effect from 1 December 2009, the Treaty on the Functioning of the  European  Union
      ("TFEU") has introduced certain changes, such as the replacement of "Community" by "Union" and "common market" by  "internal  market".  The
      terminology of the TFEU will be used throughout this decision.
[2]   Publication in the Official Journal of the European Union No C 187, 19.06.2014, p.6.
[3]   OJ C 366, 14.12.2013, p. 5.

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                                                                  PUBLIC VERSION

                                                           SIMPLIFIED MERGER PROCEDURE