Cypriot fuel market is under investigation

Cyprus’ contention watchdog has launched a afloat probe into Petrolina’s planned takeover of ExxonMobil Cyprus, warning the woody could harm contention successful the country’s substance market.

The Commission for the Protection of Competition (CPC) said the merger raises “serious doubts” astir whether it would beryllium just for consumers and different players successful the industry. Petrolina, done Med Energywise Ltd, wants to get ExxonMobil Cyprus’ stock capital.

According to the CPC, the merger could springiness Petrolina too overmuch powerfulness successful respective parts of the substance business, from importing and storing petroleum to wholesale and retail sales. Regulators worry this could pb to higher substance prices, less choices for consumers, and little country for smaller competitors to survive.

At a section level, the CPC noted the merger could particularly squeeze contention within a 4-kilometer radius of the companies’ state stations, where overlaps could marque it harder for rivals to compete. On a broader scale, the watchdog is besides examining whether the caller entity could restrict different companies’ entree to storage facilities, substance supplies, and customers.