Cade Clears Petz–Cobasi Merger With São Paulo Store Divestitures

Overview

• The Tribunal approved the deal by majority, following the vote of rapporteur José Levi, and recorded at least one dissent from councillor Camila Pires Alves.
• Petz and Cobasi signed an Acordo em Controle de Concentração that mandates selling a set of stores in the state of São Paulo, though the exact number was not disclosed.
• Cade officials said there is no designated buyer for the assets, while Petlove has expressed interest and at least one other company signaled it may bid.
• Petlove’s petition brought the case to the Tribunal after the Superintendência-Geral had previously cleared the merger without restrictions based on online and neighborhood competition.
• Poder360 reports the combined group would total roughly R$7 billion in annual sales, with shareholders holding 52.6% Petz and 47.4% Cobasi, and anticipated synergies of about R$330 million.