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UPS Takeover of TNT Express: Too Big for Small Package Delivery?

By  |  July 22, 2012

EU Commissioners have opened what is expected to be a “lengthy investigation” of UPS’s 5.2 billion euro bid for TNT Express. A preliminary review began in June, and the Commission opened a more thorough examination due in part to concerns that UPS’s market share, particularly in small package delivery, would be too high. “The proposed acquisition could in particular reduce competition for the provision of the fastest express delivery services, to the detriment of direct customers and ultimately of European consumers,” said Commission vice president Almunia. The Commission set their decision deadline for November 28. Estimations place a combined UPS/TNT market share at 35 percent in the UK and 30 percent in France and Germany.

Full content: Reuters

 

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