The European Union Commission on 19 May 2004 extended by two weeks the deadline for a decision on its antitrust review of the purchase by Owens-Illinois Inc. of BSN Glasspack SA.
The companies were d…
The European Union Commission on 19 May 2004 extended by two weeks the deadline for a decision on its antitrust review of the purchase by Owens-Illinois Inc. of BSN Glasspack SA. The companies were due to be told on 26 May 2004 whether the deal would be approved or subject to an in-depth investigation. However, that deadline has now been extended to 9 June 2004. An extension could mean the parties have submitted concessions to gain clearance. It could also mean that a member state has asked to review all or part of the deal. The EU“s Merger Regulations allow for such referrals if a merger threatens to create a dominant position in one country. The Commission declined to give reasons for the extra scrutiny. The USD 1.46 billion deal includes the assumption of USD 835 million in debt. The purchase would make Owens-Illinois the largest glass container maker on four continents and help increase its focus on its bottle-making business, the company said. BSN Glasspack is owned by Glasspack Participations, which is controlled by funds advised by private equity firm CVC Capital Partners Ltd. It is Europe“s second-largest glass packaging manufacturer. In 2003, BSN had sales of approximately USD 1.6 billion and net income of USD 252 million. The company operates 19 glass container plants in Europe.