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EU antitrust regulators halt Wabtec, Faiveley merger review

Published 13/07/2016, 11:56
© Reuters.  EU antitrust regulators halt Wabtec, Faiveley merger review
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BRUSSELS (Reuters) - - EU antitrust regulators have put their in-depth probe of U.S. rail component maker Wabtec Corp's (N:WAB) $1.8 billion (£1.3 billion) bid for French peer Faiveley Transport (PA:FAIP) on hold because the companies have not provided key information.

The European Commission opened a full investigation into the case two months ago on concerns that the deal involving two global makers of railway equipment such as brakes and doors could result in travellers and train operators paying higher prices.

"The Commission has stopped the clock in its in-depth investigation into the Wabtec/Faiveley deal. This procedure in merger investigations is activated if the parties do not provide an important piece of information that the Commission has requested from them," the EU watchdog said on Wednesday.

It will set a new deadline for its decision once the companies supply the required data. The Commission originally set a deadline of Sept. 20 for completing its investigation, later extended to Oct. 18.

Faiveley did not immediately respond to a request for comment.

The companies announced the cash-and-stock deal in July 2015.

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