CRANES manufacturer Konecranes and cargo machinery firm Cargotec have spiked their upcoming merger following intervention from the UK's competition watchdog.

The Competition and Markets Authority (CMA) blocked the deal on the basis that the Finnish duo selling off all overlapping businesses would fail to address its concerns.

The deal, announced in October 2020, was conditionally approved by the European Commission, which accepted the remedy offer the CMA rejected. The package would have seen Konecranes divest in its lift truck business and automation solutions. China's competition watchdog also gave the merger the green light, alongside regulators in nine other jurisdictions.

After mulling the decision to table an alternative remedy package, the company's directors concluded that there was not a solution which would have both addressed the CMA's concerns and have been in the "best interest" of shareholders.

(c) 2022 City A.M., source Newspaper