UPS to defend TNT takeover Nov. 12 says EU Commission

BRUSSELS Wed Nov 7, 2012 10:27am EST

BRUSSELS Nov 7 (Reuters) - United Parcel Service will seek to convince sceptical EU regulators about its proposed 5.2 billion euros ($6.7 billion) takeover of TNT Express at a closed-door hearing on November 12.

The European Commission last month warned the world's No. 1 package delivery firm about the combined companys' high market share and would be seeking concessions before it would approve the deal.

Analysts said the merged entity would control a quarter of the market, ahead of Deutsche Post unit DHL's 19 percent.

The EU authority detailed potential problems in a 360-page confidential statement of objections or charge sheet, focusing on the intra-European express delivery market, according to sources.

UPS is likely to offer concessions after the hearing towards the end of November. The TNT deal is the biggest in the U.S.-based company's 105-year history. FedEx also competes with UPS.

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.