After months of in-depth investigation by the European Commission (EC) and commitments to be met, the Japanese firm Nidec Corporation completed the acquisition of Embraco, a Brazilian producer of refrigeration compressors, from the American company Whirlpool, as reported by the SITA newswire.Read alsoRead more
One of Embraco's subsidiaries acquired by the Nidec Corporation is situated in Spišská Nová Ves, eastern Slovakia. Embraco Slovakia will change its name to Nidec Global Appliance Slovakia.
The acquisition was under investigation by the EC from November 2018 until mid-April of this year, when the Commission conditionally approved the transaction. The EC then granted the final approval on June 26.
What did Nidec have to divest?
Because of conditions set by the EC, the one-billion-dollar transaction between Whirpool and Nidec regarding the sale of Embraco could not be completed since April 2018.Read also:Read more
The Commission worried over a potential violation of competition rules if Nidec acquired Embraco, since both firms produced refrigeration compressors.
The two companies have been regarded by the Commission as the biggest manufacturers of variable speed refrigeration compressors for households and commercial purposes in the world.
Nidec thus offered to divest its refrigeration compressor business in Austria, China and Slovakia, where the firm had until recently owned a plant in Zlaté Moravce in the Nitra Region.
3. Jul 2019 at 22:56 | Compiled by Spectator staff