Compass Lexecon Advises Belsport and International Global Sourcing in Cleared Sportswear Merger

In January 2020, the Chilean competition authority ("FNE") approved the merger between Belsport and International Global Sourcing ("IGS"). Belsport is a sportswear firm, intensive in the marketing of footwear, while IGS is active in the production and marketing of footwear and apparel in different segments. The FNE analyzed the overlap between the parties' activities both in the wholesale and retail channels. It concluded that the transaction would not lead to significant anti-competitive effects on a horizontal nor a vertical level.

Compass Lexecon provided the merging parties with an economic assessment of the proposed transaction. We produced a national market shares analysis and a local geographical analysis, calculating market shares around each party's retail store using road travel time obtained via geographical information systems (GIS). The Compass Lexecon team, led by Fernando Coloma and Enrique Andreu, included Jaime Coronado Hinojosa, Sara Cosimo and Nathan Viles.