Initiating process as per Article 93 (2) of the Treaty, as decreed by the Commission.
In a significant move for the global e-commerce industry, the Federal Cartel Office in Germany has given its approval for the Chinese e-commerce giant JD.com to acquire Ceconomy, the parent company of Europe's largest electronics retailer, MediaMarkt-Saturn.
The deal, however, is not yet final and is still subject to approval from the Federal Minister of Economics, Katharina Reiche (CDU). If approved, JD.com is set to become the majority shareholder of Ceconomy, with an offer that values the company at €4 billion.
Ceconomy, with its operations under the main brands MediaMarkt and Saturn, has a nationwide branch network and a strong online presence. At the end of September 2024, the company employed around 50,000 people worldwide, including approximately 17,000 in Germany. In the most recent full fiscal year 2023/24, Ceconomy generated a turnover of €22.4 billion, with a quarter coming from online business.
JD.com, on the other hand, is particularly active in the areas of online trading and e-commerce logistics. The company, which has an annual turnover of nearly $159 billion (2024), boasts its own logistics and technological expertise.
The merger between JD.com and Ceconomy has few competitive touchpoints and does not raise any competition law concerns, according to the Federal Cartel Office. This approval indicates a potential expansion of JD.com's business into the European market.
It is worth noting that JD.com has been only marginally active in Germany so far. However, the acquisition of MediaMarkt-Saturn could change this, giving JD.com control over Europe's largest electronics retailer.
If the Federal Minister of Economics has security-related concerns, she could still veto the deal. The planned completion of the acquisition is expected after the acceptance period for JD.com's offer ends on November 10, 2025.
Ceconomy operates in over 1,000 markets in eleven European countries, with nearly 400 of them in Germany. The acquisition would mark a significant milestone for JD.com, as it continues to expand its global footprint.
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