The Authority for Consumers and Markets (ACM) blocked Zwanenberg Food Group’s proposed acquisition of Unox from Unilever after an investigation. The regulator said the deal would make Zwanenberg the only major supplier of smoked and cooked sausages, including knakworst, to Dutch supermarkets and would give it an overly strong position in sustainable soups.

The ACM said this could allow Zwanenberg to charge supermarkets higher prices. Zwanenberg disputed the regulator’s market assessment, saying supermarkets have greater power and the relevant market is broader than the ACM considers; it is considering an appeal. Unox said it was disappointed and is determining its next steps.