Paris-based LNG engineer Technip and Houston-based FMC Technologies said that the pending merger transaction between the companies has been cleared by the United States antitrust regulators.
The transaction has received an early decision from the United States antitrust regulators under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 (HSR Act), concluding antitrust review of the transaction in the U.S. under the HSR Act, the pair said in a statement on Monday.
During May, the two companies announced the multi-billion merger and the intention to combine into one company named TechnipFMC in an all-stock merger transaction.
According to Technip and FMC, the combination would create a “global leader that will drive change by redefining the production and transformation of oil and gas”.
The two companies also recently executed the business combination agreement following the conclusion of work council consultation process in Europe.
Conclusion of antitrust review in the United States under the HSR Act satisfies one of the closing conditions of the pending transaction, which remains subject to other closing conditions, including approval of Technip and FMC Technologies shareholders, the conclusion of antitrust review in other countries, and other regulatory approvals.
The transaction is expected to close in early 2017.