The Hellenic Competition Commission will convene in plenary on Friday the 6th of 2025 to examine the acquisition of sole control by the company "ALPHABET EDUCATION SINGLE-MEMBER S.A." (ALPHABET) over the company "DELTA SCHOOLS OF NORTHERN GREECE S.A." (DELTA), pursuant to Article 8 of Law 3959/2011.
ALPHABET is primarily active in the education sector a) through the company “AKMI Educational S.A” which provides vocational education, training, and lifelong learning services through the operation of Higher Vocational Education Schools (H.V.E.S.) under the name “IEK AKMI” and Lifelong Learning Centers (L.L.C.), b) through 'METROPOLITAN COLLEGE S.A.”, which provides vocational education, training, and lifelong learning services through the combined operation of a college and L.L.C. under the name METROPOLITAN L.L.C.
DELTA provides vocational education, training, and lifelong learning services through the operation of a H.V.E.S. under the name “IEK DELTA 360” and a L.L.C. under the name “DELTA SCHOOLS OF NORTHERN GREECE L.L.C. S.A.".
According to the Statement of Objections (SO), the implementation of the above concentration may substantially restrict competition in the relevant markets for the provision of vocational training services through private H.V.E.S. in the geographical markets of Attica, Thessaloniki, Volos (overlapping with Larissa) by creating a dominant/hyper-dominant (as appropriate) position of the new entity in these markets.
In particular, taking into account:
a) the very high combined market share of the parties to the transaction in the market for the provision of vocational training services through private H.V.E.S. in the individual geographic markets concerned;
b) the significant discrepancy between the next competitor’s market share and the new entity’s market share;
c) the direct competitive proximity of the two parties in relation to all key competition parameters;
d) the very high barriers to entry for new players and the development of existing competitors due to the parties' established position and reputation of the incumbent firms, which is maintained and strengthened thereby through large advertising expenditures,
e) the absence of competition/potential competition from public H.V.E.Ss, it is deemed that the likely effect of the concentration on the above markets is the creation of a dominant or a hyper-dominant position of the new entity with the elimination of AKMI’s major competitor,
it is estimated that the new entity will have the ability to increase prices, impair service quality and reduce the ability of existing competitors to expand in this market, while at the same time increasing the barriers to entry vis-à-vis potential competitors. Therefore, it is considered that the concentration will significantly restrict effective competition in the individual markets concerned.
In view of the above, the SO proposes to the Hellenic Competition Commission to prohibit the concentration consisting in the acquisition by ALPHABET of sole control over DELTA.
Furthermore, the SO proposes a late notification of the concentration in question to be established, in breach of Article 6 (1) of Law 3959/2011, and the imposition of a fine on ALPHABET, as the acquirer being subject to the obligation of timely notification, as provided for in Article 6 (4) of Law 3959/2011.
It is noted that the Statement of Objections is not binding on the HCC, which will decide based on the available evidence as well as the arguments put forward by the parties.