RESEARCH TRIANGLE PARK – The proposed $34 billion acquisition of Red Hat by IBM will receive a go or no-go decision from European Union regulators by June 27, according to news reports Tuesday.
IBM filed for EU approval on Monday, Reuters and DealReporter noted. And the EU confirmed the request, Reuters added.
“The EU competition enforcer can either clear the deal with or without conditions or it can open a full-scale investigation,” Reuters added.
Jim Whitehurst, CEO of Raleigh-based Red Hat, noted at the company’s annual Summit last week that the companies were awaiting approval from the EU.
The US Justice Department cleared the merger two weeks ago.
IBM’s Rometty: Red Hat will remain independent – ‘I don’t have a death wish’
If the deal is approved, Red Hat shareholders would receive $190 a share in cash.
IBM has said it expected the deal to be approved this year.
The deal also is likely to reshape the cloud computing business – a factor IBM CEO and Chair Ginni Rometty cited as the major one for making the deal.
IBM (NYSE” IBM) and Red Hat (NYSE: RHT) proposed the merger last October.
