{"id":107443,"date":"2025-06-30T09:56:27","date_gmt":"2025-06-30T07:56:27","guid":{"rendered":"https:\/\/globalpetindustry.com\/?p=107443"},"modified":"2025-06-30T09:56:27","modified_gmt":"2025-06-30T07:56:27","slug":"petlove-appeals-approval-of-petz-cobasi-merger","status":"publish","type":"post","link":"https:\/\/globalpetindustry.com\/news\/petlove-appeals-approval-of-petz-cobasi-merger\/","title":{"rendered":"Petlove appeals approval of Petz-Cobasi merger"},"content":{"rendered":"

Petlove has appealed the recent decision<\/a> from the Administrative Council for Economic Defense (CADE) granting unconditional approval for the merger between pet retailers Petz and Cobasi.<\/p>\n

The appeal, filed on 18 June 2025, argues that the 2 companies are currently the dominant players in the pet market and the only ones that effectively compete with one another.<\/p>\n

\u201cOnce the competition between them is eliminated, they will be free to raise prices and could pressure suppliers to serve their own interests rather than those of consumers,\u201d a company spokesperson tells GlobalPETS.<\/p>\n

According to the retailer, the market analysis made by the authorities before approval of the transaction overlooked \u201cthe differences in scale between\u00a0Petz\u00a0and Cobasi megastores and small neighborhood\u00a0pet\u00a0shops.\u201d<\/p>\n

\u201cThese differences result in variations in pricing, product portfolios and competitive strategies,\u201d it adds.<\/p>\n

After over 3 years of discussions, Petz and Cobasi announced\u00a0their merger<\/a> process\u00a0in April 2024.<\/p>\n

Irreparable damage?<\/strong><\/h2>\n

Petlove has also requested that Brazil\u2019s antitrust watchdog conduct a more in-depth analysis of the relevant market than the one carried out by the antitrust General Superintendence, which concluded that the operation posed no significant risk to competition in the pet retail market.<\/p>\n

Petlove considers that CADE should reject the current merger to prevent \u201cirreparable\u201d harm to competition and consumers.<\/p>\n

\u201cAny approval of the Transaction would require a robust\u00a0and extensive package of remedies \u2013 both structural and behavioral \u2013 sufficient to create an effective rival to the merged company.\u201d<\/p>\n

Brazil\u2019s CADE now has until 1 January 2026 to conclude a review of the case. Until then, the merger is temporarily on hold until the final decision by CADE\u2019s Tribunal.<\/p>\n

Petz view<\/h2>\n

Cobasi and\u00a0Petz are aware of the appeal and expressed \u201cconfidence\u201d in the decision of the board members.<\/p>\n

\u201cThe transaction was approved without restrictions, as there is no competitive risk in a fragmented and competitive market,\u201d a Petz spokesperson tells GlobalPETS.<\/p>\n

The merger of the pet retailers is expected to create a new leader in the largest market in South America, with a combined revenue<\/a> of R$6.9 billion ($1.32B\/\u20ac1.15B) and a combined network of nearly 500 stores<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Petlove has appealed the recent decision from the Administrative Council for Economic Defense (CADE) granting unconditional approval for the merger between pet retailers Petz and Cobasi. The appeal, filed on 18 June 2025, argues that the 2 companies are currently the dominant players in the pet market and the only ones that effectively compete with […]<\/p>\n","protected":false},"author":75616,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[746],"class_list":["post-107443","post","type-post","status-publish","format-standard","hentry","category-retail-online-dtc","topic-brazil","topic-global-pet-industry","topic-industry-insights","topic-ma","topic-news","topic-retail-online-dtc","topic-south-america"],"yoast_head":"\nPetlove appeals approval of Petz-Cobasi merger - GlobalPETS<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/globalpetindustry.com\/news\/petlove-appeals-approval-of-petz-cobasi-merger\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Petlove appeals approval of Petz-Cobasi merger - GlobalPETS\" \/>\n<meta property=\"og:description\" content=\"Petlove has appealed the recent decision from the Administrative Council for Economic Defense (CADE) granting unconditional approval for the merger between pet retailers Petz and Cobasi. 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