Tegeta Motors is set to acquire a controlling stake in I GPS Operator, following the approval of the merger by the Georgian Competition and Consumer Protection Agency (GCCA). The acquisition expands Tegeta’s presence in the GPS equipment sales, installation, and monitoring services market.
According to the GCCA, “As a result of the market analysis, it was determined that in 2024, over 1,000 entities were active in the GPS device services market. The total market volume reached GEL 2,181,758,521.2. The Herfindahl-Hirschman Index (HHI) stood at 990.4, indicating a low-concentration market.”
The agency also considered Tegeta Motors’ planned acquisition of GPS Georgia LLC. “In light of this, we evaluated the impact of the concentration under the assumption that Tegeta Motors would gain control over both entities. The change in market concentration (ΔHHI) was effectively zero,” the statement noted.
Additionally, in 2024, 523 companies operated at the import level of GPS and related devices. The total market volume in this segment was GEL 39,488,597. The HHI for the import market was 132.8, with a ΔHHI of just 2.5 units.
Based on its comprehensive market assessment—including structure, concentration, and the estimated shares of the parties involved—the agency concluded that the proposed concentration would not significantly impact competition.
