UPDATE: EU Clears JP Morgan Chase To Buy RBS Sempra Commodities

17th Jun 2010 19:56

(Updates with stock prices, additional details) DOW JONES NEWSWIRES The European Commission on Thursday approved J.P. Morgan Chase & Co.'s (JPM) $1.7 billion purchase of the European and Asian trading operations of a joint venture owned by Royal Bank of Scotland Group Plc (RBS, RBS.LN) and Sempra Energy (SRE). Shares of Sempra were recently up 1.5% at $49.99, while American Depositary Shares of RBS were trading 3.4% higher at about $13.79. Sempra and RBS announced in February that they would sell RBS Sempra Commodities' European and Asian oil and metals trading business to J.P. Morgan. The partners are currently working to sell the joint venture's remaining North American power and gas-trading operations. Edinburgh-based RBS is selling its stake in the joint venture under orders from European regulators, after the bank received billions in government aid. Sempra, of San Diego, Calif., expects to receive $2 billion or more from the sale of its entire stake in the venture. "The (J.P. Morgan) merger will create an integrated provider of both financial and physical trading services across the major commodity classes," the European Commission said Thursday in a statement. Also Thursday, HSBC Holdings PLC (HBC, HSBA.LN) said it will buy RBS's Kazakhstan retail banking assets for $52 million in cash. -By Cassandra Sweet and Alessandro Torello, Dow Jones Newswires; +32 2 741 14 88; [email protected] (END) Dow Jones Newswires June 17, 2010 14:56 ET (18:56 GMT)