Nasdaq Cancels Sale of Nordic Power Trading Unit to EEX

Nasdaq has cancelled its plans to sell its Nordic power trading and clearing business to the European Energy Exchange (EEX). The EU Commission raised concerns about market competition, prompting a closer look at the deal. EEX and Nasdaq will now continue to operate independently in the Nordic power market.

Nasdaq said on Wednesday it has cancelled plans to sell its Nordic power trading and clearing business to Europe's biggest power bourse, the European Energy Exchange (EEX).

Although the deal, which was announced last year, did not meet the standard threshold requirements for an EU anti-trust investigation, some authorities in Nordic member states requested that the EU Commission take a closer look at the case on concerns it could hamper market competition. A preliminary review of that was scheduled to end Wednesday.

According to a commission document, concerns were around whether the deal would allow EEX to bundle its products to expand its market share and potentially spike power prices. At present, EEX and Nasdaq Commodities, are the only providers of exchange-based Nordic Power trading and clearing.

EEX said it will continue to pursue its own business strategy for the region and related markets independently, without providing any reason for the deal termination. Nasdaq said it will continue to operate its Nordic power trading and clearing business.

Last year, the EEX and Nasdaq said the deal posed no significant threat to competition in Denmark, Finland, Sweden, Norway or any other EU country, nor would it eliminate competition between the two companies.

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