Aviation equipment merger authorised
Thursday 26 July 2012
The European Commission cleared, on 26 July, the proposed acquisition of Goodrich by United Technologies Corporation (UTC), both American companies active in the production and sale of aviation equipment on a worldwide basis. The merger was approved under the EU merger regulation. The Commission initially had concerns that the transaction would have left the merged entity without sufficient competitive constraint on the market for power generation, and therefore the merger was made conditional on the divestment of Goodrich’s businesses in electrical power generation and in engine controls for small engines. It is also subject to Rolls Royce being granted an option to acquire Goodrich’s lean burn fuel nozzle research and development project.