(Adds details of probe)
By Foo Yun Chee and Julia Fioretti
BRUSSELS, July 20 (Reuters) - European Union antitrustregulators have opened an in-depth investigation into whetherU.S. drinks can maker Ball Corp's 4.4 billion pound ($7billion) offer for Britain's Rexam Plc will lead tohigher prices for companies and consumers.
The deal, announced in February, would combine the world'stwo largest beverage can makers by volume, controlling just overa fifth of the global market and serving clients such asCoca-Cola Co and Anheuser-Busch InBev SA.
But the European Commission said on Monday it had concernsthe combination would likely result in price increases forbusinesses and therefore consumers.
"Very many of us buy drinks in cans ... it is therefore veryimportant that the Commission makes sure that Ball's takeover ofRexam does not restrict effective competition and so risk priceincreases that could be passed on to consumers," MargretheVestager, EU Competition Commissioner, said in a statement.
The Commission will now decide by Nov. 25 whether to clearthe deal.
It said the high entry barriers in the industry because ofthe need to ensure large customer orders and invest in buildingproduction plants made fast entry and expansion difficult.
Its decision to open a full-scale investigation could rampup the pressure on Ball to offer concessions to counterregulatory concerns.
Antitrust experts said these could include sellingoverlapping assets in various EU countries to rivals such asCrown Holdings Inc.
($1 = 0.6426 pounds) (Editing by Robin Emmott and David Holmes)
