The UK Competition and Markets Authority (CMA) has officially opened an inquiry into the anticipated acquisition of TK Elevator Topco GmbH by Finnish elevator and escalator manufacturer KONE Corporation. On September 22, 2026, the regulatory body issued an initial invitation to comment, calling on third parties and market participants to submit their views regarding how the transaction might impact market competition across the engineering sector in the United Kingdom.
This preliminary gathering of information is the pre-phase 1 stage of the regulatory review process, as the CMA has not yet formally launched a full investigation into the deal. The regulator will update its case status once the formal Phase 1 investigation officially commences.
The transaction itself was first announced on April 29, 2026, under a share purchase agreement with Vertical Topco I S.A., which holds all assets of the TK Elevator Group through its direct subsidiary, Vertical Topco II S.A.. Under the agreed terms, KONE will acquire TK Elevator for a total consideration comprising €5 billion in cash alongside up to 270 million newly issued KONE class B shares.
Key corporate approvals for the massive consolidation are already well underway. During an Extraordinary General Meeting held in Helsinki on June 3, 2026, KONE shareholders overwhelmingly approved the required resolutions. These measures granted the Board of Directors authorization to execute the directed share issue for up to 270 million class B shares to the seller, valid through June 2031. Additionally, shareholders conditionally voted to expand KONE’s board from eight to ten members, adding Ranjan Sen and Bruno Schick as new directors upon completion of the transaction.
Under the terms of the agreement, the seller will retain rights to nominate board representatives based on its remaining shareholding percentages following closing. Final completion of the deal remains subject to customary closing conditions and regulatory approvals across relevant jurisdictions, with the overall transaction currently expected to close during the second quarter of 2027 at the earliest.
