General Electric has notified it has terminated the agreement pursuant to which Electrolux had agreed to acquire the appliance business of GE. Therefore, the transaction will not be completed.
The proposed acquisition was announced on September 8, 2014 but on July 1, 2015 the US Department of Justice sued Electrolux and GE to stop the proposed acquisition. «Although we are disappointed that the acquisition will not be completed – commented Keith McLoughlin, president and CEO of the Swedish company – Electrolux is confident that the Group has strong capabilities to continue to grow and develop its position as a global appliances manufacturer. The strategy to grow profitably in promising segments, product categories and emerging markets remains. The Group’s operations in North America have proved to be strong on its own merits, with good organic growth and a recovery in earnings during 2015. Major Appliances North America has a strong presence in the US under the brands Frigidaire and Electrolux, and we are confident that this position will be maintained and strengthened.»
