EU to rule on Bertelsmann, Axel Springer JV on Dec 23
The European Commission said it will rule on the proposed joint venture between Axel Springer AG and Bertelsmann AG’s high-quality printing operations on Dec 23. Last week, the German cartel office told the commission that it wanted to rule on the deal, meaning the commission’s investigation was delayed by two weeks while it assessed the merits of the request. Sources told AFX News at the time that the commission was likely to turn down the request because of the implications for the European market as a whole.
German cartel office tells EU it wants to rule on Bertelsmann/Springer JV
AFX UK ProFeed 12-03-2004
BRUSSELS (AFX) – Germany’s cartel office said it has told the European Commission that it wants to rule on the high-quality printing joint venture being established by German media groups Bertelsmann AG and Axel Springer AG.
Sources close to the case told AFX News that the German cartel office had submitted a referral request to the commission two days ago. A spokesman for the cartel office confirmed that it has made the request.
This means the commission’s initial one-month investigation into the deal will be automatically extended by two weeks while it discusses the referral request. The commission had been due to announce whether it would clear the deal on Dec 9.
Sources close to the case told AFX News that the commission is unlikely to refer the case back to Germany as the market for high quality printing is Europe-wide.
If a referral request is refused, the commission often opens an in-depth probe into the deal, largely as a token of political assurance to the national competition authority that it is doing a thorough investigation. This would put the deal on ice for up to four months.
