Italy sets terms for Whirlpool’s sale of European unit to Arcelik

Italy’s government on Monday conditionally approved Whirlpool (WHR.N)’s sale of a majority stake of its European domestic appliances business to Turkish rival Arcelik (ARCLK.IS), a ministerial source said.

The Europe-wide deal, announced in January, concerns four Whirlpool factories in Italy employing around 4,600 people.

Prime Minister Giorgia Meloni’s right-wing government had the right to scrutinise it under so-called Italian “golden power” rules designed to safeguard industries deemed of national interest. a decree approved in a cabinet meeting, Meloni’s government green-lighted the deal subject to provisions against plant closures and job cuts and protecting local technological know-how, the ministerial source said.

In January, Whirlpool said it would transfer its European major domestic appliance business into a new company in which Arcelik will have a 75% stake and the U.S. group will retain the remaining 25%.

At the time, Whirlpool said it expected the transaction to close in the second half of the year, subject to regulatory approvals and other customary closing conditions.

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