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EU approves sell-off of Arriva Germany transport company

Feb 16, 2011, 15:41 GMT

Brussels - The European Union on Wednesday approved the sale of German transport firm Arriva Deutschland to an Italian railway company and a French investment firm, saying the deal would not harm competition in the EU.

The decision formalizes the breakup of the British-based Arriva Group, which runs transport services across much of Europe, but which was taken over by German rail operator Deutsche Bahn last year.

The European Commission said the takeover of the Arriva Group would only be legal if Deutsche Bahn sold off the group's bus and rail operations in Germany, run by subsidiary Arriva Deutschland.

Italian railway operator Ferrovie dello Stato and French specialist investment fund Cube launched a joint bid for the German operation. They currently have little presence in the German market.

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