Competition Authority to investigate proposed Schlumberger acquisition
The Competition Authority is to carry out a full investigation in relation to the proposed acquisition by IBM Ireland Limited (IBM) of Schlumberger Business Continuity Services (Ireland) Limited (Schlumberger).
Both parties are involved in provision of business recovery services.
The acquisition is part of a global transaction whereby IBM is purchasing all of Schlumberger’s business recovery operations.
The Competition Authority received notification of the proposed acquisition on May 20. The Authority is required under the Mergers and Acquisitions section of the Competition Act 2002 to determine whether the result of the proposed acquisition will “substantially lessen competition” in markets for goods or services in the State.
"After a preliminary investigation (Phase 1), the Authority has been unable to conclude without further investigation that the transaction will not substantially lessen competition," the authority said in a statement.
The Competition Authority has until October 29 to make a final determination on the transaction.
The investigation of the proposed acquisition will examine the effect on competition in the provision of business continuity and disaster recovery services.
