Here are some of the developments in antitrust news this past week that we found interesting and are following.
Russia’s Gazprom Files Proposals to EU Aimed at Ending Antitrust Case. Russia’s Gazprom said it had filed proposals with the European Commission aimed at resolving a five-year EU case over the Russian gas giant’s alleged monopoly practices. The Russian state gas exporter, which supplies a third of the EU’s gas, has been on the European Commission’s radar since 2012, culminating in charges last year that it overcharged customers in eastern and central Europe and blocked rivals. Since then, Gazprom has offered concessions aimed at staving off a potential fine of up to 10 percent of its global turnover.
South Korean Antitrust Regulator Fines Qualcomm $865 Million. South Korea’s antitrust regulator slapped a 1.03 trillion won ($865 million) fine on Qualcomm Inc. Wednesday for allegedly violating competition laws. The Fair Trade Commission said that the San Diego, California-based company had engaged in unfair business practices in patent licensing and chip sales, including refusing to let rival chipmakers license patents essential for chip making. The FTC said Qualcomm allegedly used its dominant position in the modem chip market to force handset makers to pay license fees for a broad set of patents under terms it set unilaterally and to coerce handset makers into signing licensing contracts.
Abbott Gets U.S. Antitrust Approval to Buy St. Jude Medical. Healthcare company Abbott Laboratories has won U.S. antitrust approval for its proposed $25 billion acquisition of medical device maker St. Jude Medical Inc., the U.S. Federal Trade Commission said. Abbott agreed to divest two medical devices used in cardiovascular procedures to resolve FTC concerns the acquisition would stifle competition, the commission said in a statement. “We continue to work to obtain final regulatory approvals and anticipate closing before the end of the year or shortly thereafter,” Abbott spokeswoman Elissa Maurer said in an email.
FTC Seeks More Iinfo on Bass Pro-Cabela’s Deal. U.S. fishing and hunting equipment retailer Cabela’s Inc., which is being bought by privately held rival Bass Pro Shops, said the Federal Trade Commission had sought more information from the companies about the deal. As part of the proposed $5.5 billion deal, announced in October, Capital One Financial Corp. had said it would buy Cabela’s credit card business and signed a 10-year partnership with Bass Pro to issue credit cards to Cabela’s customers. On Friday, Cabela’s said Capital One had informed the company that it does not expect to get approval for acquiring the credit card business, called World’s Foremost Bank, before Oct. 3, 2017, hence not allowing the deal to close in the first half of 2017.