EU approves Ecolab purchase of Nalco
ST. PAUL, MN — The European Commission has cleared the proposed acquisition of Nalco Holding Company by Ecolab Inc. under the EU Merger Regulation, according to a press release.
The proposed transaction allows Ecolab to broaden its core competencies in cleaning and sanitizing products, in particular in the food and beverages industry, by strengthening its presence in water treatment products, without raising competition concerns, the release stated.
According to the release, the commission found that the merged entity will continue to face sufficient competition from several strong players.
The commission also assessed the vertical relationships arising from the fact that Nalco supplies water treatment chemicals to Ecolab''s competitors in the water treatment business, the release noted.
The commission finally examined possible conglomerate effects arising from the transaction, in particular since some of the parties'' activities involve a range of products generally purchased by the same set of customers, the release added.
Click here to read the complete release.