Proposed acquisition of Meggitt plc by Parker-Hannifin Corporation: public interest intervention notice
Notice relating to the proposed acquisition of Meggitt plc by Parker-Hannifin Corporation.
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The boards of Meggitt plc and Parker-Hannifin Corporation have announced that they have reached agreement on the terms of a recommended cash acquisition, for which Parker will acquire the entire issued share capital of Meggitt. Meggitt shareholders voted in favour of the acquisition on 21 September 2021.
Under the Enterprise Act 2002, the Secretary of State for Business, Energy and Industrial Strategy has the power to intervene in mergers on public interest grounds relating to national security. This responsibility is discharged in a quasi-judicial capacity, which means that the Secretary of State must act, and be seen to act, in a scrupulously fair and impartial manner.
On 18 October 2021, acting on official advice, the Secretary of State issued a public interest intervention notice to intervene in the proposed transaction on national security grounds.
The Competition and Markets Authority (CMA) will prepare a report on the proposed transaction. The CMA has until midnight at the end of 18 March 2022 to complete and submit this report to the Secretary of State.