THE HAGUE, Netherlands (AP) -- The European Commission has unconditionally approved the 4.4 billion euro takeover by FedEx of Dutch-based package deliverer TNT Express, saying it will not undermine competition in the sector.
The Commission says in a statement that an in-depth investigation found that the merged company will have a "moderate" market position in Europe and that joining forces will cut costs and benefit customers.
The companies welcomed Friday's announcement, saying that the combined entity "will provide significant value to the employees, customers and shareholders of both companies."
FedEx and TNT Express announced the planned takeover last year. The companies say they are still working to get regulators' approval in countries including Brazil and China and anticipate that the deal will be completed in the first half of the year.