United Parcel Service, Inc. (NYSE:UPS) has walked away from its $6.9 billion buyout bid for TNT Express NV (AMS:TNTE). Shares of TNT Express NV plummeted 50 percent in Amsterdam as a result before recovering and trading 42 percent lower than the stock’s opening price.

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Officials with the European Commission told the two companies late last week that they would block the acquisition because they did not adequately address the commission’s concerns about competition. United Parcel Service, Inc. (NYSE:UPS) did not want to amend the terms, so today it announced that it would drop the buyout bid.

The European Commission began reviewing the possible deal in March. In November United Parcel Service, Inc. (NYSE:UPS) addressed competition concerns raised by the commission, even revising its proposal two times. UPS said it would sell off some of its operations and also give access to its new combined network to rivals.

The commission is expected to announce that it officially blocks the deal between TNT Express NV (AMS:TNTE) and UPS next month. At that point UPS will pay a $265.5 million fee for breaking the potential deal with TNT Express NV, which is Europe’s second biggest delivery company. UPS wanted to buy TNT Express NV because the new combined company would be able to compete better with DHL, a subsidiary of Deutsche Post AG.

If United Parcel Service, Inc. (NYSE:UPS) had purchased TNT Express NV (AMS:TNTE), it would have been UPS’ largest deal ever. The collapse of the deal has left TNT Express trying to put together a new strategy as the European delivery market struggles due to weak demand.