Hitachi’s proposed €1.7 billion ($1.78 billion) purchase of Thales SA’s rail-signal business won regulatory approval from the UK’s competition watchdog after the Japanese firm offered to divest parts of its European unit.
Hitachi’s offer to sell its existing mainline signaling business in the UK, France, and Germany, was sufficient in addressing previous concerns over the deal, the Competition and Markets Authority said on Wednesday.
The merger is also being investigated by the European Union. The European Commission has set a Nov. 6 deadline to review Hitachi’s buyout of Thales. The firms offered unspecified commitments to regulators at same time as re-notifying the deal for approval on Sept. 14, according to a website filing.