Daimler, Rolls cleared for Tognum merger
The German automaker Daimler and British engine maker Rolls-Royce said Friday they have obtained a green light from regulatory authorities for their takover of the engine and drive system firm Tognum.
The three companies are thus cleared to form a global leader in the "off-highway" sector of marine, energy, defence and industrial applications.
The new company is to be called Engine Holding and would compete with groups like Caterpillar, General Electric (GE) and MAN.
Daimler and Rolls-Royce now own 96.8 percent of the shares in Tognum, and have offered to buy all outstanding shares at their offer price of 26 euros ($37.45) per share until midnight on November 10.
© 2011 AFP