GCCA Approves Major Market Concentrations in Georgia
Deal News | Jan 30, 2025 | EIN
The Georgian Competition and Consumer Agency (GCCA) has given the green light to two major market concentrations, impacting the alcoholic beverage and fast-moving consumer goods (FMCG) sectors in Georgia. In the alcohol sector, LLC G.D. Alkos acquired a 90% stake in LLC Evercraft International, a market of 215 companies with a total production of 20.1 million liters, maintaining a moderate concentration with an HHI of 1,275.48. Meanwhile, LLC BMS obtained a 67% stake in LLC Euroline in the FMCG sector, where the retail and distribution dimensions were found to be low-concentrated with HHIs of 690.98 and 457, respectively. In 2024, GCCA reviewed 52,593 market concentrations, imposing substantial fines. As 2025 progresses, two concentrations have been approved, with more still under evaluation.
Sectors
- Alcoholic Beverages
- Fast-Moving Consumer Goods (FMCG)
Geography
- Georgia – The activities and approvals mentioned are being conducted by the Georgian Competition and Consumer Agency, indicative of their impact on the Georgian market.
Industry
- Alcoholic Beverages – The merger activity in this sector involves LLC G.D. Alkos acquiring a significant stake in LLC Evercraft International.
- Fast-Moving Consumer Goods (FMCG) – The acquisition of a stake in LLC Euroline by LLC BMS pertains to the FMCG sector, highlighting competitive dynamics in retail and distribution.
Financials
- 288,400 GEL – The total amount of fines imposed by the GCCA in the year 2024 for market concentrations.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Georgian Competition and Consumer Agency (GCCA) | Regulatory Authority | Government | Government agency responsible for approving and assessing market concentrations in Georgia. |
| LLC G.D. Alkos | Acquiring Company | Company | Acquirer of a 90% stake in LLC Evercraft International in the alcoholic beverages sector. |
| LLC Evercraft International | Target Company | Company | Targeted company in the alcoholic beverage sector acquired by LLC G.D. Alkos. |
| LLC BMS | Acquiring Company | Company | Acquirer of a 67% stake in LLC Euroline in the FMCG sector. |
| LLC Euroline | Target Company | Company | Targeted company in the FMCG sector acquired by LLC BMS. |