EU Clears Praxair in Danbury for Linde Merger, With Conditions

DANBURY, CT — The European Commission has approved under the EU Merger Regulation the proposed merger between Danbury-gased Praxair and Linde. The approval is conditional on the divestiture of an extensive remedy package.

“Gases -- like oxygen and helium -- are crucial inputs for a large variety of products we need and use in our everyday life,” EU Competition Commissioner Margrethe Vestager said in a release. “For instance, industrial oxygen is used in large quantities in the production of steel. And hospitals need medical oxygen for patients and helium so that magnetic resonance imaging (MRI) scanners can work. There are very few companies in the world capable of supplying all these gases. With this decision, we make sure that the merger of Praxair and Linde will not result in further concentration in Europe and that customers will continue to benefit from competition in these markets."

After an in-depth investigation, the Commission concluded that the proposed transaction, as originally notified, would have significantly reduced competition in a number of markets in the European Economic Area (EEA).

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Those fears were calmed when Praxair agreed to sell its entire gas business in Europe as well as its stake in an Italian joint venture, along with some helium sourcing contracts.

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