GE Said to Face EU List of Concerns Over Alstom Bid Next Month
2015-04-30 09:34:18.17 GMT
By Gaspard Sebag
(Bloomberg) -- General Electric faces a statement of
objections as soon as next month cataloging the European
Commission’s concerns over its bid to buy most of France’s
Alstom’s energy business, three people familiar with the matter
say.
* Statements of objections are “standard practice” in such
complex cases where no concessions have been made, says
Christian Filippitsch, a lawyer at Norton Rose Fulbright LLP
in Brussels, not involved in review
* “Unconditional clearance is still possible also after the
statement of objections, provided that GE sufficiently shows
that there remains credible competition,” Filippitsch says
* “Alternatively, the remainder of the review period will
focus on whether GE will be able to propose suitable
remedies to eliminate the commission’s allegations,” he
says
* The timing of the statement of objections would give GE and
Alstom, based in the Paris suburb of Levallois-Perret, at
least two months to reach a compromise with the EU ahead of
its Aug. 6 deadline to rule on the deal
* NOTE: Firms that get an SO can request an oral hearing to
argue their case
* “We have a constructive dialog with the commission and we
continue to work toward a positive outcome,” Seth Martin, a
GE spokesman, says by e-mail; European Commission declines
to comment
* The EU has previously said the purchase may leave only
Siemens as GE’s main rival in Europe, probably stifling
innovation in the region and leading to price rises.
* While the companies will seek to address EU concerns
relating to the sale and servicing of heavy-duty gas
turbines, GE has said it disagrees with the regulators’
initial assessment
* SEE: Feb. 23: GE’s Alstom Deal Gets Full EU Probe on
Competition Concerns
Story Link:NSN NNM4796KLVRF<GO>
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--With assistance from Richard Clough in New York.
To contact the reporter on this story:
Gaspard Sebag in Brussels at +32-2-285-4317 or
gsebag@bloomberg.net
To contact the editors responsible for this story:
Anthony Aarons at +44-20-3525-2227 or
aaarons@bloomberg.net
Peter Chapman
2015-04-30 09:34:18.17 GMT
By Gaspard Sebag
(Bloomberg) -- General Electric faces a statement of
objections as soon as next month cataloging the European
Commission’s concerns over its bid to buy most of France’s
Alstom’s energy business, three people familiar with the matter
say.
* Statements of objections are “standard practice” in such
complex cases where no concessions have been made, says
Christian Filippitsch, a lawyer at Norton Rose Fulbright LLP
in Brussels, not involved in review
* “Unconditional clearance is still possible also after the
statement of objections, provided that GE sufficiently shows
that there remains credible competition,” Filippitsch says
* “Alternatively, the remainder of the review period will
focus on whether GE will be able to propose suitable
remedies to eliminate the commission’s allegations,” he
says
* The timing of the statement of objections would give GE and
Alstom, based in the Paris suburb of Levallois-Perret, at
least two months to reach a compromise with the EU ahead of
its Aug. 6 deadline to rule on the deal
* NOTE: Firms that get an SO can request an oral hearing to
argue their case
* “We have a constructive dialog with the commission and we
continue to work toward a positive outcome,” Seth Martin, a
GE spokesman, says by e-mail; European Commission declines
to comment
* The EU has previously said the purchase may leave only
Siemens as GE’s main rival in Europe, probably stifling
innovation in the region and leading to price rises.
* While the companies will seek to address EU concerns
relating to the sale and servicing of heavy-duty gas
turbines, GE has said it disagrees with the regulators’
initial assessment
* SEE: Feb. 23: GE’s Alstom Deal Gets Full EU Probe on
Competition Concerns
Story Link:NSN NNM4796KLVRF<GO>
For Related News and Information:
First Word scrolling panel: FIRST<GO>
First Word newswire: NH BFW<GO>
--With assistance from Richard Clough in New York.
To contact the reporter on this story:
Gaspard Sebag in Brussels at +32-2-285-4317 or
gsebag@bloomberg.net
To contact the editors responsible for this story:
Anthony Aarons at +44-20-3525-2227 or
aaarons@bloomberg.net
Peter Chapman