EUROPEAN COMMISSION O.K.’S FULL TAKEOVER OF DHL BY DEUTSCHE POST
The European Commission has cleared the full takeover of integrator DHL International Ltd. by Germany’s Deutsche Post AG.
The fact that Deutsche Post now has sole control of Bermuda-based DHL “will not significantly modify the current competitive structure of the market since Deutsche Post is already closely linked to DHL,” the EC said.
Deutsche Post is now allowed to acquire the DHL shares of Lufthansa, the German airline.
DHL’s principal activity is international express door-to-door delivery of documents and parcels through an integrated delivery network.
The EC’s investigation showed that there are only minor overlaps between the two companies because Deutsche Post is mainly active in mail delivery in Germany, a market where DHL is not active.
“With regard to international express parcel and letter delivery, where they are both present, Deutsche Post will face sufficient competition from UPS, Federal Express and TNT Post Group,” the EC said.
The European regulator added that the shift from joint to sole control is not likely to lead to the creation or the strengthening of a dominant position.
Deutsche Post is also the parent company of the forwarding and logistics group Danzas.