TNT takeover bid invites EU investigation

EU Competition Commission says deal could reduce competition affecting customers across Europe

EU EU Competition Commission EU investigation EU Merger Regulation express delivery services Joaquin Almunia TNT UPS

United Parcel Service Inc’s (UPS) takeover bid under the EU Merger Regulation for TNT Express NV will be investigated by the European Commission.

The deal could reduce the number of integrated express delivery services from four to three across Europe. The Commission pointed out in a press release that the “preliminary investigation indicated potential competition concerns in the markets for small parcel delivery services, in particular international express services, in numerous Member States”.

EU Competition Commissioner Joaquin Almunia also emphasized that the proposed acquisition could “reduce competition for the provision of the fastest express delivery services, to the detriment of direct customers and ultimately of European consumers”.