Monday 4 June 2018

EU clears ABB buyout of electrical product supplier

The European Commission has cleared plans for ABB to buy General Electric Industrial Solutions (GEIS).

It judged the merging of the electrical product and system suppliers would raise no competition concerns in the relevant global markets.

The Commission found although both firms provide similar products and services, they focus on different geographical areas of activity, with ABB having a stronger presence in Europe and GEIS in the US.

It said the merged entity will continue to face effective competition from a number of large-scale rivals and both specialised and local suppliers.

It added products in the sector are generally homogeneous and therefore interchangeable between competing brands, reducing the likelihood of competition concerns.