China National Chem Corporation (ChemChina) has been given approval to acquire Italian tire-maker Pirelli by the European Commission, reports Deutsche Presse-Agentur (dpa). The European regulator said in a statement, "The proposed transaction [will] raise no competition concerns as the market share increments are modest, the two companies are not close competitors, and customers will continue to have an adequate number of alternative suppliers in all markets."
Significance: It was announced in March 2015 that ChemChina was making a bid for the Italian tire-maker through its subsidiary China National Tire & Rubber. The company initially made an agreement with anchor shareholder CamFinanziaria (Camfin) to pay EUR15 (USD16.61) per share for its 26.2% stake, and is tabling a bid for the outstanding shares.
