European Union Approves Staples-Office Depot Merger
"This is a significant step, and we're very pleased the European Commission has approved this transaction," Ron Sargent, chairman and CEO of Staples, said in a press release. "The acquisition has been approved in Australia, New Zealand, China and Europe. Regulatory agencies around the world understand that this acquisition will allow Staples to provide increased value and service to customers of all sizes. We look forward to a full, impartial judicial review in the United States."
In January, we reported that Staples and Office Depot waived the merger-agreement termination date of Feb. 4, extending it to May 16, 2016 in order to allow for the completion of the ongoing federal court litigation with the Federal Trade Commission. The merger also is currently the subject of ongoing litigation with the Canadian Competition Bureau.
The European Commission approved the merger under the condition that Staples divest Office Depot's European contract business and Office Depot's operations in Sweden. Both parties also agreed that they will divest Office Depot's retail, online and catalog operations in Europe, which is subject to the closure of the acquisition.
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