The European Energy Exchange (EEX) has proposed a set of remedies to address antitrust concerns raised by the European Commission regarding its bid for Nasdaq’s European power trading and clearing business. This development was disclosed in an update on the Commission’s website on Tuesday.
EEX, a subsidiary of Deutsche Boerse, submitted its proposal on Monday. The specific details of the proposal have not been made public, adhering to the Commission’s confidentiality policies. In light of the ongoing review, the Commission has extended its deadline for a decision on the deal by two weeks, setting a new date of June 26.
The EU competition watchdog had previously circulated a questionnaire to market participants, seeking their input on whether the acquisition might enable EEX to enhance its market dominance by bundling products and potentially influencing prices. The feedback sought was crucial in determining the competitive implications of the deal.
Concerns have been voiced by some customers regarding the possibility that EEX might consolidate Germany’s position as a central hub with spread contracts, potentially at the expense of interest and development in the Nordic markets, which operate on a different system price and contract structure.
In response to these concerns, both EEX and Nasdaq have maintained that the merger poses no significant threat to competition across the EU, including in Denmark, Finland, Sweden, and Norway. They have assured that the deal would not diminish competition between the two entities and have reported a positive reception from the market thus far.