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Brussels, 19 March 2010

Mergers: Commission approves acquisition of Edscha by Gestamp Automoción

The European Commission has cleared under the EU Merger Regulation the proposed acquisition of the hinge and control systems unit of Edscha AG of Germany by Gestamp Automoción S.L. of Spain. The Commission concluded that the proposed transaction would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it.

Gestamp is active worldwide, mainly in the supply of metal components, modules and systems for the automotive industry, and renewable energy. Gestamp is also active in steel services through its subsidiary, Grupo Gonvarri. Edscha supplies hinge systems, door checks, foot controls (brake and/or clutch and gas pedal), parking brake levers and convertible roof systems for the automotive manufacture. The parties' activities overlap only with respect to foot controls for vehicles, while some of their activities are vertically related given Gestamp's activities in steel services.

The Commission's investigation confirmed that the overlap in foot control is limited. Moreover, the combined entity would continue to face several strong competitors with significant market shares.

The Commission's investigation also found that the vertical relationship between the activities of the parties would not enable the merged entity to close off competitors or customers. The Commission therefore concluded that the proposed concentration would not raise competition concerns.

The transaction was notified to the Commission on 12 February 2010.

More information on the case will be available at:

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