LONDON (Reuters) - Turnaround specialist Melrose (MRON.L), locked in a hostile takeover of British engineering firm GKN GKN.L, said on Monday it had received clearance from competition regulators in the United States and Canada for the 7.4 billion pound ($10.4 billion) deal.
GKN has rejected Melrose’s bid, describing it as “low price and high risk” but Melrose is keeping up the pressure.
It said it had received clearance in respect of U.S. and Canadian antitrust issues.
Melrose will, however, still have to secure approval from the Committee on Foreign Investment in the United States (CFIUS) due to GKN’s role as a supplier of components to the U.S. and British militaries, a ruling that could take longer to come.
Reporting by Kate Holton; editing by Jason Neely