divestitures – Antitrust Intelligence

AON-WTW Hangs in the Balance as DOJ Files Suit To Block Deal

June 23, 2021June 23, 2021Editorial

The combination between AON and Willis Tower Watson hangs in the balance as antitrust concerns over large multi-national customers may be difficult to address with divestitures. With the U.S., EU, Australia and New Zealand raising similar concerns, the key for the approval may lie on a narrow market definition. The companies may need to beef up the divestment plan to appease regulators.

$40 Billion Nvidia-Arm May Delay EU Filing, But It May Be For Good

June 20, 2021June 23, 2021Editorial

The companies may delay until September the formal filing of the deal in Europe. While this may look like an unnecessary delay, this extra time could allow EU regulators to review the deal and grant an approval without opening an in-depth merger review, in our view. The $40 billion deal will combine Nvidia’s graphic and data center chips with Arm’s IP licensing portfolio to create a microchip company with enhanced AI and IoT capabilities. The deal is expected to raise antitrust concerns in US, Europe and China.

Fiat-Peugeot’s Remedies Bring EU Nod Closer But Not A Done Deal

September 30, 2020December 22, 2020Editorial

Peugeot’s proposed remedy to deepen its current agreement with Toyota to produce more cars for the Japanese automaker may help to appease EU regulators and bring an approval closer. Yet, in order to avoid divestitures, the automakers may have to beef up the remedy plan.

Thyssenkrupp-Tata Likely Needs to Beef Up Remedy Plan to Get EU Approval

May 3, 2019May 12, 2019Editorial

(Premium) – Thyssenkrupp and Tata will likely need to beef up their remedy package to win EU antitrust approval by June 17. Yet, additional divestitures may affect the rationale of the deal.

How Can I Save an Anticompetitive Merger? Remedies!

January 12, 2019March 24, 2019Editorial

For most M&A deals that raise antitrust flags, remedies may appease regulators. While divestitures are the preferred option, especially in horizontal deals, behavioural remedies are widely used in vertical and conglomerate mergers.

Siemens-Alstom Likely to Derail Unless High-Speed Trains Are Divested

January 11, 2019May 2, 2019Editorial

(Premium) – The Siemens-Alstom deal is about to collapse unless the companies are willing to divest additional high-speed trains. The initial remedy package seems insufficient to appease EU regulators. For Siemens the cost of divesting additional high-speed trains may render the deal unattractive.

Thales’ $5.7 Billion Bid for Gemalto Likely Needs Remedy to Clear

September 28, 2018May 2, 2019Editorial

(Premium) – The companies are likely to be cleared after a second-phase merger review but they may need to divest general-purpose hardware security modules (GP HSM) to secure a DG Comp’s nod.