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EU Opens Door to Larger Corporate Mergers

Financial Times Companies •
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The European Commission is signaling greater willingness to consider large corporate mergers that could boost investment, innovation or security of supply. Anthony Whelan, who leads the bloc's powerful competition directorate, said companies should make the case for the benefits of such corporate tie-ups, adding that "the opening to the importance of pro-competitive scale can enable the creation of champions, including European champions."

His comments are among the clearest signals yet that the Commission is reassessing its approach to consolidation to help European companies scale up against American and Chinese rivals. The shift could revive mergers once seen as unlikely to clear EU scrutiny, Whelan said, while stressing that the Commission will "consciously make some explicit and hopefully clear signals" of openness to such arguments.

Whelan emphasized the Commission will examine how mergers affect long-term market evolution, particularly in sectors like AI where high capital needs could leave the industry dominated by a few US companies. He noted the Commission is determined to reduce barriers to entry and ensure competition isn't distorted by market practices surrounding AI model development.