The European Commission and the UK’s Competition and Markets Authority (CMA) have approved ALD’s acquisition of LeasePlan, paving the way for the deal to go ahead.

ALD has now obtained clearance from the UK’s CMA and European Commission for the deal

The CMA announced the launch of its merger inquiry in September 2022, saying it was worried the deal would “result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services”.

The UK competitions regulator subsequently gave an invitation to comment in September and concluded its verdict last month.

Since then, ALD has also obtained clearance from the European Commission for the deal, which was the final hurdle.

The Commission’s approval was conditional on ALD divesting its full-service leasing and fleet management subsidiaries in Portugal, Ireland and Norway, with the exception of the NF Fleet Norway JV between ALD and Nordea, and disposing of LeasePlan’s subsidiaries in the Czech Republic, Finland and Luxembourg.

It means the deal, announced in January 2022, is on track to close by the end of this year – creating a leading global player in mobility with a total fleet of 3.5 million vehicles.

The combined NewALD business will be led by ALD CEO Tim Albertsen and, according to the firms, will be key in moving the auto sector from ownership to usership models and zero-emission vehicles. It will also continue to accelerate towards data-driven digital transformation of the mobility industry.

Last month saw ALD launch a c.€1.2bn (£1.03bn) capital increase with shareholders’ preferential subscription rights in connection with the planned LeasePlan acquisition, fully underwritten by ALD parent firm Société Générale.