The European Commission on Tuesday approved the acquisition of Asiana Airlines by Korean Air, a South Korean carrier operating in the European Union (EU), but imposed legal protections as the largest companies seek to protect competition.
In a statement, the community leader announces the green light and states that “approval is subject to full compliance with the corrective measures proposed by Korean Air.”
While Korean Air is South Korea’s largest airline offering international passenger and air cargo services, Asiana Airlines is the second largest operator, both having a “significant presence in the European Economic Area”, Brussels notes, noting that it has therefore introduced legal protections . for example, selling the cargo operation of an acquired carrier or providing funds to T’Way’s main competitor to operate four overlapping routes.
“These commitments are fully responsive to the competition concerns identified by the Commission,” the agency said.
These concerns specifically concerned air cargo traffic between Europe and South Korea and passenger traffic on routes between Seoul and some European destinations, namely Barcelona, Paris, Frankfurt and Rome.
There are currently three merger investigations underway by the European Commission’s competition authorities, including the merger of telecommunications companies Orange and MasMovil in Spain, the acquisition of Italian flag carrier ITA Airways by Lufthansa and the purchase of Air Europa by Lufthansa. aviation group IAG.
Author: Lusa
Source: CM Jornal
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