REX.L Share News (REX)

(ShareCast News) - The European Commission has approved the acquisition of London-listed drinks can maker Rexam by US rival Ball Corp, subject to the divestment of 12 plants in Europe.The regulator said its investigation showed that the deal, as notified, would have cut competition in the already concentrated markets for beverage cans, risking higher prices for customers.As a result, the EC's approval is conditional upon Ball divesting ten plants making can bodies and two plants manufacturing can ends to a suitable purchaser.Commissioner Margrethe Vestager, in charge of competition policy, said: "Soft drinks or beer in cans are widely consumed by European citizens. The substantial remedies offered will ensure that effective competition is maintained in the already concentrated drink can industry so consumers do not end up paying higher prices for their favourite refreshments."Both Rexam and Ball supply beverage cans and, to a lesser extent, aluminium bottles, to soft drinks, beer and energy drinks manufacturers.At 1140 GMT, Rexam shares were down 0.2% to 601p.