Siemens and Alstom merger concessions ‘fall short’ of EU antitrust requirements
Commissioner Margrethe Vestager has been under pressure to approve the rail tie-up
Brussels — A last-ditch bid by Siemens and Alstom to win approval from the EU’s top antitrust regulator for their planned rail merger is not good enough to allay concerns about competition, says a person with knowledge of the situation. The fresh concessions, first reported by Bloomberg on January 25, come too late and fall short of the bold steps EU commissioner Margrethe Vestager would need to grant approval for the deal, said the person, who asked not to be identified because the matter is private. Alstom shares dropped as much as 4.3%, while Siemens declined 0.8%. Alstom confirmed on Monday the companies’ package of remedies on the deal was modified, though the magnitude of asset sales was unchanged at about 4% of revenue of the combined entity. While the French rail equipment supplier did not provide details, people familiar with the matter have said the companies have offered to sell signalling assets as well as provide longer licensing agreements, and have already identified ...
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