Tofas Approved for Stellantis Otomotiv Takeover in Turkey
ISTANBUL (Reuters) - Turkey's competition board said on Friday that it approved carmaker Tofas' takeover of Stellantis NV's local distribution business on condition of an investment plan and additional commitments submitted by the parties.
In a statement, the antitrust authority said it accepted the second commitment package presented by the parties, including an investment plan, protection of domestic production and measures to be taken in distribution/sales channels.
In 2023, Turkey's Tofas said it signed an agreement to purchase all of Stellantis Otomotiv shares and its operations and distribution rights of Stellantis brands, such as Peugeot, Citroen, Opel and DS Automobiles in Turkey.
"Tofas committed to increase its production and export capacity as part of the investment plan, which is expected to make a significant contribution to employment," the authority said, adding that it will benefit the automotive industry.
An initial commitment package in 2024 for the transaction was deemed insufficient by the competition board.
(Reporting by Ezgi Erkoyun and Ebru Tuncay; Editing by Alison Williams)
