EU Okays CMA CGM-CIMC Joint Venture
- Business & Finance
The European Commission has approved the formation of a new joint venture between French shipping major CMA CGM and Chinese logistics company China International Marine Containers Neocontainer (CIMC Neocontainer), part of CIMC Group.
As informed, the joint venture will provide services in container storage management, container handling, and container repair exclusively in Tianjin port in China.
“The Commission has concluded that the proposed acquisition would raise no competition concerns given its very limited impact on the market,” the European Commission said in a statement.
On January 7, CMA CGM and CIMC Neocontainer notified the commission of a proposed concentration by which they intend to acquire the joint control of a full-function joint venture newly created for the provision of container yard related services in Tianjin port. The concentration is accomplished by way of purchase of shares in a newly created company constituting the JV, according to the commission.
After examining the case under simplified merger control procedures, the EU’s executive arm authorized the JV.
“(T)he European Commission has decided not to oppose the notified operation and to declare it compatible with the internal market and with the EEA Agreement.”