The European Commission has cleared TRW Automotive Holdings’ proposed acquisition of a majority stake in European based airbag and steering wheel maker Dalphi Metal Espana (Dalphimetal).

The EC has approved the transaction under European Union merger regulations, which protect competition within the European economic area.

In September, TRW announced it had agreed a deal with the founding members of Dalphimetal to purchase a 68.4% stake in the company for €113 million, or approximately $US137 million, plus the assumption of €84 of debt.

TRW expects to complete the transaction during the fourth quarter of 2005.