© tom_schmucker-dreamstime.com Electronics Production | March 11, 2013
Motorola / Flextronics deal approved
The European Commission has signalled a 'go-ahead' approval for the acquisition of certain manufacturing assets belonging to Motorola by EMS-provider Flextronics.
The European Commission has cleared under the EU Merger Regulation the proposed acquisition of certain manufacturing assets belonging to Motorola Mobility LLC by Flextronics International Ltd. "The parties' activities overlap in the market for the provision of electronic manufacturing services to Original Equipment Manufacturers (OEMs), including in particular the production of mobile phones and tablets. The Commission's investigation found that the overlaps were very limited and that a number of strong players would remain in the market after the merger", a statement regarding the decision reads. In December 2012 it was announced that Flextronics will acquire Motorola’s manufacturing operations in Tianjin, China, and will also assume the management and operation of its Jaguariuna, Brazil, facility. All employees would also transfer over to the EMS-giant.