The competition authorities in Austria have completed the investigation into the acquisition of office furniture manufacturers Hali and Svoboda by Bene and Neudörfler and see no objection to the formation of a new major player on the European office furniture market. However, the companies involved have had to make a number of commitments in the area of price formation and production sites.
At least three production locations will remain in place for the next three years
As stated two weeks ago, Grossnigg, owner of the group of companies, has promised that at least three production sites will continue to exist for a period of 3 years. This concerns the factories in Waidhofen / Ybbs (Bene), Neudörfl / Leitha (Neudörfler) and Eferding (Hali Büromöbel). The future in St. Pölten (from the bankrupt Svoboda) is still uncertain.
Price policy unchanged for existing customers
In addition to the fact that the near future is secured for 3 factories, the competition authority has received an additional guarantee that the brands established in the three locations (Bene, Hali and Neudörfler) will continue to exist for at least three years and that they will maintain an unchanged pricing policy with consistent quality for existing customers. The only exception is a permitted price adjustment on the basis of the inflation figure. Finally, it has been agreed that Hali and Svoboda will be free in the pricing and supplier choice during the three years mentioned.
“It was a lengthy, costly and time-consuming process for us to get the approval from the competition authority, but we did not want to give up our plans. We see great opportunities to become a major supplier of office furniture far beyond our borders. That is why we agreed to the demands of the authority , despite the fact that these entail considerable economic disadvantages for us ” says Erhard Grossnigg in the Austrian media