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Image header Agence Europe
Europe Daily Bulletin No. 10400
Contents Publication in full By article 35 / 40
GENERAL NEWS / (ae) eu/competition

17/06/2011 (Agence Europe) - Mergers: Keiper/JCI. On 17 June, the European Commission gave clearance for the acquisition of the automotive business of Keiper Recaro Group (Keiper) by Johnson Controls Inc. (JCI), a supplier of automotive systems and components. The companies' activities overlap in the downstream markets for car seat structures and the upstream markets for related mechanisms such as recliners and adjusters. As a consequence, the merger also results in a vertical effect. Furthermore, the parties would have high combined market shares in a number of car seat mechanisms. The Commission's investigation, however, showed that they would continue to be faced with competition on these markets and the car manufacturers play an important role in the selection of suppliers of seat structures and mechanisms for their car models or platforms and are therefore a constraining factor. The transaction, notified on 6 May this year, should not therefore pose any problems of competition. (F.G./transl.jl)

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