European Commission Approves Nidec's Acquisition of Embraco

摘要

The merger will combine two leading global manufacturers of refrigeration compressors for household and light commercial appliances. Following its investigation, the Commission raised concerns about reduced competition, higher prices and less choice in the markets for: i) fixedspeed refrigeration compressors for light commercial applications - the transaction would have generated stronger market dominance at European Economic Area (EEA) level and created global dominance; and ii) variable-speed refrigeration compressors for light commercial applications, where Nidec and Embraco are the only two players globally, so the merger would have created a monopoly in a context of intensifying competition and rising demand. Limited entry- of new market participants in the EEA market, including from China, is forecast. The Commission had no concerns regarding fixedspeed refrigeration compressors for household applications.