The European Commission concerns that the merger deal between Metallo and Aurubis may reduce competition in the purchasing of copper scrap for refining.
The European Commission on 19th November opened an in-depth investigation to assess the proposed acquisition of Metallo by Aurubis, under the EU Merger Regulation.
According to EU Commission’s statement, the Commission is concerned that the acquisition may reduce competition in the purchasing of copper scrap for refining.
Commissioner Margrethe Vestager, responsible for competition policy said, “demand for copper is likely to increase, notably also due to the growing importance of electric cars. A well-functioning, competitive copper recycling industry is key to meet the future needs of European industry and to limit the impact on the environment.”
The Commission will carefully assess the merger between Aurubis and Metallo, the two leading copper scrap refiners in Europe, to ensure the transaction would not negatively affect competition in this important sector, she added.
German based Aurubis is a provider of non-ferrous metals and the leading player in the copper industry in Europe while Belgian based Metallo is in processing and refining non-ferrous metal scrap, in particular copper scrap.
Both companies purchase large quantities of copper scrap for refining.
