Cargotec - Konecranes merger revisited
The European Commission, which recently started a phase II review of the merger between Cargotec and Konecranes, decided to open an in-depth investigation to assess the project under the EU merger regulation.
The message is clear: "The Commission is concerned that the proposed acquisition may reduce competition in the supply of certain container and cargo handling equipment in Europe."
This decision puts into question the merger of the two companies, which was decided upon internally in October 2020, when Cargotec and Konecranes announced that the companies had signed a combination agreement, which was expected to be completed by the end of H1/2022.
The regulatory process currently runs on a worldwide scale. The various competition authorities besides the European Commission, e.g. the UK competition and markets authority, the US department of justice and the Chinese state administration for market regulation, are currently reviewing the proposed transaction. (cd)