Install

Get the latest updates as we post them — right on your browser

. Last Updated: 07/27/2016

EU Reviews Volvo Deal




BRUSSELS, Belgium -- The European Commission has launched a detailed review of Volvo AB's proposed purchase of rival Swedish truckmaker Scania AB over fears of reduced competition, especially in the Nordic region.


The commission, which includes the European Union's antitrust watchdog, said in a statement Monday that its "initial investigation has shown the merger may create or strengthen a dominant position in markets for heavy trucks and buses," particularly in Nordic countries, and in British and Irish bus markets.


The probe will delay by four months the commission's verdict on the deal.


The 60.7 billion Swedish krona ($7.46 billion) deal announced in August would create Europe's largest truckmaker with 31 percent of all sales, ahead of current No. 1 player DaimlerChrysler AG.