Hyundai Heavy Industries’ proposed takeover of rival Daewoo Shipbuilding & Marine Engineering to create the world’s biggest shipbuilder was hit with an EU veto on Thursday, January 13, on concerns that the deal would hurt competition.
Hyundai, one of the largest shipbuilders in the world, announced the deal in 2019 in part to tackle overcapacity in the sector, reported Reuters.
The shipyard, which sought EU antitrust approval for the takeover in November 2019, stated it may challenge the EU prohibition and criticized the regulator’s focus on market shares.
The South Korean industry ministry stated it regretted the EU decision on a deal already cleared by China, Singapore, and Kazakhstan.
The European Commission stated the deal would create the world’s largest shipbuilder with a combined market share of at least 60%, leaving few alternative suppliers for customers.
The EU competition enforcer said the tie-up would reduce competition in the global market for the construction of large liquefied gas (LNG) carriers.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
T-Mobile’s Acquisition of Ka’ena Corporation Receives FCC Approval
Apr 26, 2024 by
CPI
UK Regulator Announces Two New Senior Executive Appointments
Apr 26, 2024 by
CPI
Paramount Global and Skydance Media Near Merger Deal, Eyeing CEO Change
Apr 26, 2024 by
CPI
BHP Unveils £31bn Mining Megamerger Proposal with Anglo American
Apr 25, 2024 by
nhoch@pymnts.com
ByteDance Prefers Shutdown Over Sale of TikTok Amid US Ban Threats
Apr 25, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI