April 9 (Renewables Now) - General Electric (NYSE:GE) will have to pay a EUR-52-million (USD 58.6m) fine to the European Commission (EC) for providing incorrect information during the regulator's review of the acquisition of Danish wind turbine blades maker LM Wind Power in 2017.
The EC said on Monday that the fine was imposed following a breach of the EU merger regulation procedures, under which companies in a merger investigation have to provide correct and non-misleading information or are otherwise subject to a fine of up to 1% of their annual global revenue.
In GE's case, at the time of notifying the commission about the LM Wind deal, the US conglomerate had stated it was not developing a wind turbine for offshore applications with a power output higher than 6 MW. However, the EC found out that GE was actually offering a 12-MW offshore wind turbine variant to potential customers. According to the regulator, this was “a serious infringement” to the merger procedural rules.
GE withdrew the initial notification and subsequently replaced it with a second one that contained the missing information.
The EC needed the information to properly assess the future position of GE and the competitive landscape on the wind turbine markets. Regardless of the imposed fine, it noted that it will have no impact on the granted approval of GE’s takeover of LM Wind, which was completed in April 2017.
(EUR 1.0 = USD 1.126)