Bruce Barnard, Special Correspondent | Nov 08, 2012 12:14PM EST
United Parcel Service will defend its planned $6.8 billion takeover of Dutch rival TNT Express at a hearing with European Union antitrust regulators next week.
The closed-door meeting in Brussels on Nov. 12 follows a so-called statement of objections from the EU in late October, which raised serious concerns over the impact of the deal on competition, particularly in the pan-European express delivery sector.
The EU’s competition commissioner Joaquin Almunia has said UPS must offer “substantial” concessions to get regulatory approval for the takeover, which the companies agreed to in March.
A merged UPS-TNT would have a quarter of the EU express market, ahead of Deutsche Post’s DHL Express at 19 percent, according to industry analysts.
The EU must decide on the transaction by January 15.
Both companies have said they remain confident of closing on the merger in early 2013.
Contact Bruce Barnard at brucebarnard47@hotmail.com.