With its proposed $13.8 billion purchase of Alstom's power equipment unit facing opposition from the European Union, General Electric Co. said Monday it is willing to consider concessions to gain regulatory approval to combine the two power equipment manufacturing businesses.
"We are willing to explore remedies to get this deal done even though again we believe in the merits of the deal," Steve Bolze, president and CEO of GE Power & Water, said in an interview with Reuters news service.
The comment came after Reuters quoted two anonymous sources who said that GE was unlikely to gain unconditional European Union clearance to buy Alstom's power equipment business, which makes boilers and power plant equipment in Chattanooga.
Bolze said concessions would have to "preserve the deal economics and our strategic value," and declined to discuss potential areas of remedies that GE might consider.
The European Commission opened a full investigation in February to consider whether GE's purchase of the French-based Alstom would lessen competition. The acquisition would remove one of GE's three rivals in the manufacturing of heavy-duty turbines for gas-fired power plants, Reuters said.
GE's gas turbine competitors include Siemens AG and Mitsubishi Heavy Industries Ltd.
The Alstom deal would be the biggest acquisition in GE's history. Reuters said the deal would expand GE's power turbine line.
GE also is in the midst of selling off its appliance division, which includes the GE Roper plant in LaFayette, Ga.