US aluminum producer Novelis has offered concessions to address EU antitrust concerns over its US$2.6 billion bid for aluminum producer Aleris, a filing on the European Commission website showed on Monday, August 12.
The Commission has expressed worries about reduced competition and higher prices as a result of the deal, with carmakers in particular feeling the impact.
The EU competition enforcer did not provide details of the concessions, in line with its policy. It is expected to seek feedback from rivals and customers before deciding by October 7 whether to clear the bid.
The company could make a written commitment to boost capacity and add 80 new jobs at the Aleris plant in Duffel, Belgium, to allay regulatory concerns that capacity may be curtailed to increase prices, people with knowledge told Reuters.
According to Reuters, Novelis stated it was working constructively with the Commission.
“While we have no definitive information to share at this time, we are exploring a range of options, including potential remedies, with the continued aim of closing the transaction by the end of this calendar year,” Novelis said in a statement.
Full Content: Reuters
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