Germany's Ministry for Economic Affairs has approved the takeover of Europe's largest electronics retailer, MediaMarktSaturn, by the Chinese group JD.com subject to conditions, the ministry confirmed to dpa on Monday.
The conditions are intended to ensure that customers' personal data in Germany remain protected. Furthermore, they grant the German government extensive monitoring and control rights and enable it to revoke the authorization in the event of breaches, according to a statement.
The investment screening process examined whether the takeover would undermine public order or security in Germany.
JD.com stated, "We welcome the approval under foreign trade law by the Federal Ministry for Economic Affairs and Energy." The company expects full approval in the second half of the year.
The takeover has not yet been finalized. Following an initial investigation, the European Commission expressed "preliminary concerns" and is now examining the case in greater detail.
Chinese subsidies may have enabled JD.com to submit a higher takeover bid for Ceconomy, the parent company of MediaMarkt and Saturn. This could have distorted the process.
The commission also intends to examine whether the takeover would distort competition in the European single market. Under EU law, it has until October 2 to reach a final decision. The commission's approval is one of the prerequisites for a change of ownership.
JD.com made a takeover bid last year and secured a majority stake in Ceconomy a few months later. Authorities in several countries are scrutinizing the takeover.
