U.S. senators urge Europe to act on Oracle, Sun deal
WASHINGTON (Reuters) - Fifty-nine U.S. senators, led by John Kerry and Orrin Hatch, have urged European antitrust regulators to conclude their investigation of the Oracle and Sun Microsystems merger and justify any further delay in making a decision on the deal.
"The EC is within its sovereign rights to set the rules for operation in its market, but with our Department of Justice having made a compelling case that the merger does not pose a threat to competition, it is fair to ask the EC for the basis on which a delay on decision making is warranted and to make a decision one way or the other," Kerry said in a press statement.
The U.S. Department of Justice approved the deal in August.
"Some have raised concerns over the company's ability to continue to employ its thousands of workers. Accordingly, we respectfully request the European Commission complete its investigation of this transaction as quickly as possible," the senators said in a letter to Charge d'Affaires Angelos Pangratis, acting head of the delegation of the European Commission to the United States.
On November 20, EU regulators extended their review of the $7 billion deal from January 19 to January 27, 2010.
John Briggs, an antitrust expert with years of experience in Brussels, said pressure from U.S. senators could affect the decision of EU regulators.
Briggs said the senators' action was "a little bit surprising and somewhat regrettable." But, he added, "the reality is that the European Commission will have a hard time ignoring this."
Sun struck a deal this year to sell itself to Oracle.
(Reporting by Diane Bartz)
