XXXLutz expects in-depth EU review of Porta acquisition

Furniture retailer XXXLutz expects its planned acquisition of competitor Porta to undergo a Phase II in-depth investigation by the European Commission. Alois Kobler, head of XXXLutz Germany, stated that the company anticipates a more rigorous review to determine if the merger would significantly impact competition in the furniture market.

The takeover was announced over 18 months ago, exceeding the company's original one-year timeline due to the high volume of data and inquiries required. A decision from the Commission is expected by October 12. While XXXLutz remains confident the deal will be approved, Kobler noted that the Commission might impose conditions, such as prohibiting the acquisition of specific Porta locations based on population size or competitor density.

The company expects to finalize the acquisition by the end of the first quarter of 2027. Regarding the approximately 6,000 Porta employees, Kobler does not anticipate significant job cuts or administrative layoffs, stating that the company intends to maintain existing contracts and salary levels.