IP/11/5
Brussels, 4 January 2011
Mergers: Commission approves acquisition of US energy company Dresser by General Electric
The European Commission has cleared under the EU Merger Regulation the proposed acquisition of Dresser Holdings by General Electric Company (GE), both of the US. After examining the operation, the Commission concluded that the transaction would not significantly impede effective competition in the European Economic Area (EEA) or any substantial part of it.
GE is a global, diversified manufacturing, technology and services company with five primary business units, including: GE Energy, GE Technology Infrastructure, GE Capital, GE Home & Business Solutions and NBC Universal. Dresser is globally active in the provision of energy infrastructure, oil and gas products and services. It has six main product lines, namely control valves, natural gas solutions, pressure relief and safety valves, measurement systems, compression and power systems, and air and gas handling.
The Commission’s investigation showed that the horizontal overlaps between the activities of GE and Dresser are limited and that, for the products concerned, in particular generator sets for power generation with gas engines, the combined firm will continue to face several strong, effective competitors with significant market shares. The Commission also examined the merged entity’s enlarged product range in the oil and gas industry, and concluded that there would be no risk of any of the markets concerned being closed off, as there are alternative and competing sources of supply.
The transaction was notified to the Commission on 19 November 2010. More information on the case is available at:
http://ec.europa.eu/competition/elojade/isef/case_details.cfm?proc_code=2_M_6039
