Yokohama Rubber Co. Ltd. is one approval away from finalizing its purchase of Trelleborg Wheel systems.
The $2.3 billion deal, first announced in late March 2022, received the European Commission's stamp of approval late March 24, according to both Trelleborg A.B. and Yokohama. The two companies shared the news in nearly identical press releases, noting that the sale is expected to be complete in the first half of 2023.
The European Commission has yet to publish its decision.
While the approval is good news for both Yokohama and Trelleborg, there remains at least one hurdle to clear. Both parties are still waiting on the results of an antitrust investigation launched by the United Kingdom's Competition and Market Authority in January.
"The CMA is considering whether it is or may be the case that this transaction, if carried into effect, will result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act of 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services," CMA said in a Jan. 31 statement.
Trelleborg, at the time of the investigation's launch, said the scrutiny was expected as part of a "normal procedure."
The sale of Trelleborg Wheel Systems originally was expected to close by the end of 2022, but delays in regulatory approvals hindered the timeline.