EU Merger Watchdog Deepens Investigation into $500 Million MMG, Anglo American Nickel Deal — Update

By Edith Hancock

The European Commission said it will deepen its investigation into MMG's $500 million purchase of Anglo American's Brazilian nickel business, citing competition concerns.

The commission said it has preliminary concerns that the deal could divert ferronickel supplies away from European markets and ultimately raise prices and reduce the quality of stainless steel production in the bloc. It said that Anglo American holds substantial market power in a concentrated market and that European customers have limited access to alternative suppliers.

"Over the coming weeks we'll be working diligently with the EC team to progress the approval process and comprehensively address any outstanding questions, and we remain fully committed to progressing the transaction towards completion," the companies said in a joint statement.

The watchdog set a March 20 deadline to end the next stage of its investigation.

Mining groups MMG and Anglo American announced the deal plan in February, which comprises an upfront cash payment of $350 million at completion, with the remaining payment subject to certain milestones and investment decisions.

The companies formally notified the EU of their plan in September, triggering the commission's merger review process.

MMG tried to get approval for the deal and swerve an in-depth probe by offering concessions to the commission last month. That would see Anglo American buy a minimum quantity of ferronickel from two of MMG's Brazilian mines equivalent to their current sales of the metal in Europe for up to 10 years.

But the commission said that the concessions offered weren't sufficiently clear-cut to address the competition problems officials identified as they did not involve structural changes to the business.

Write to Edith Hancock at edith.hancock@wsj.com

(END) Dow Jones Newswires

November 04, 2025 11:56 ET (16:56 GMT)