Europe to Hold Hearings on GE-Honeywell Merger

The European Commission is expected to hold closed hearings this week on General Electric Co.’s $42-billion takeover of Honeywell International.

This month the EC formally notified GE of its objections to the firm’s purchase of Honeywell, but all parties anticipated that the deal would eventually be approved. The GE-Honeywell merger has already won U.S. clearance.

The EC did not detail its objections publicly, but its investigation focused on whether the deal would enable the combined firm to bundle its products and damage competitors. GE makes engines for commercial aircraft, and Honeywell makes avionics that run the planes. GE also owns a financing arm.

At the hearings, GE, Honeywell and their rivals will have a chance to present their views. The EC is required to make a decision on the merger by July 12. The commission could clear the merger, set conditions or reject it.