EU clears CMA CGM, NOL container shipping mergerStaff writer ▼ | April 30, 2016
The European Commission cleared French shipping group CMA CGM's $2.4 billion takeover of Neptune Orient Lines on condition that NOL pulls out from a rival shipping alliance.
Acquisition Competition in shipping is crucial
The European Commission said in a statement that its approval was conditional on CMA CGM's commitment to withdraw NOL from the G6 alliance, which competes with its own Ocean Three alliance.
"Container line shipping plays a central role in global trade, so competition in this sector is essential for businesses and consumers in the EU," EU Competition Commissioner Margrethe Vestager said.
The concession is similar to that offered by German container shipping company Hapag Lloyd and Chilean peer Compania Sud Americana de Vapores two years ago in return for the EU approving their tie-up. ■