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Commission approves merger in the soft-alloy aluminium extrusion market
Edited by : AL CIRCLE
1 min read
The European Commission, under the EU Merger Regulation, approved the creation of a joint venture between two Norwegian aluminium companies, Norsk Hydro ASA and Orkla ASA's wholly-owned subsidiary Sapa Holding AB. The new entity will be named Sapa.
The new merger has already been approved by the U.S. Department of Justice and relevant competition authorities in several other jurisdictions. The parties are waiting now the approval from the Chinese competition authorities (MOFCOM). The Chinese authorities are currently evaluating the new acquisition which is expected to be completed by the third quarter of 2013. The European Commission’s approval is conditional on the sale of Sapa’s multiport extrusions (MPE) business in the Netherlands and Hydro's largest soft-alloy extrusions plant in Norway. The parties have started to sale these businesses in line with the Commission’s decision.
Commission Vice President in charge of competition policy Joaquín Almunia stated: "This case shows again that European merger control is able to both, protect customers from price rises fuelled by undue market power through effective remedies, and allow companies to combine their forces to become industry leaders at the global level."
The new merger has already been approved by the U.S. Department of Justice and relevant competition authorities in several other jurisdictions. The parties are waiting now the approval from the Chinese competition authorities (MOFCOM). The Chinese authorities are currently evaluating the new acquisition which is expected to be completed by the third quarter of 2013. The European Commission’s approval is conditional on the sale of Sapa’s multiport extrusions (MPE) business in the Netherlands and Hydro's largest soft-alloy extrusions plant in Norway. The parties have started to sale these businesses in line with the Commission’s decision.
Commission Vice President in charge of competition policy Joaquín Almunia stated: "This case shows again that European merger control is able to both, protect customers from price rises fuelled by undue market power through effective remedies, and allow companies to combine their forces to become industry leaders at the global level."
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