Alcan Merger Reportedly in Trouble

Alcan Aluminium's (AL Quote) three-way merger plan is reportedly collapsing under the weight of antitrust opposition by European regulators.

The Montreal-based aluminum giant is attempting to merge with France's Pechiney (PY Quote) and Switzerland's Algroup in a deal valued at $10.6 billion.

Representatives of both Pechiney and Alcan told Reuters that the deal is not dead, but its prospects remain uncertain. The companies have until April 30 to submit a revised plan that will satisfy regulators.

According to a report in Wednesday's Wall Street Journal, the companies could announce as soon as Wednesday that they will not resubmit their merger plan to the European Commission.

The European Commission has already approved Algroup's plan to combine with Alcan.

Alcan closed Tuesday up 2 at 34 1/4.