BRUSSELS (Reuters) - The European Commission said on Friday it had approved Japanese firm Nidec’s planned purchase of U.S. white goods maker Whirlpool Corp’s compressor subsidiary Embraco, subject to conditions.
Nidec, a Japanese electric motor manufacturer, agreed a year ago to buy Brazil-based Embraco for an enterprise value of $1.08 billion.
The Commission said that the deal as notified would have reduced competition and resulted in higher prices given that Nidec and Embraco were close competitors.
The Commission said it was satisfied with Nidec’s subsequent commitments to divest its refrigeration compressor business for both household and light commercial applications
It also committed to make available to the purchaser of this divested business significant funding for future investments in the production lines in Austria and Slovakia.
Reporting by Philip Blenkinsop; editing by Foo Yun Chee