The acquisition of Sal Oppenheim, the Luxembourg-based private bank and investment firm, by Deutsche Bank has been given the green light by the European Commission.

“After examining the operation, the Commission concluded that the transaction would not significantly impede effective competition in the European Economic Area or any substantial part of it,” the Commission said in a statement.

The Commission’s findings concluded that the horizontal overlaps between the activities of the German banking giant and Sal Oppenheim are limited and that competition would not be harmed by the acquisition.

Deutsche Bank announced the acquisition of Sal Oppenheim in October last year and appears to have submitted a description of the transaction to the Commission in December.

The EU Commission has played a key role in driving M&A activity in recent months. For example, under EU single market rules covering government subsidies, Germany's Commerzbank - which has received state bailout aid - has been required to spin off private banking businesses outside Germany, such as UK-based Kleinwort Benson.