The CMA (Competition and Markets Authority) has said that Euro Car Parts’ buyout of Andrew Page faces an ‘in-depth merger probe’, unless it ‘offers acceptable ways of addressing competition concerns’ by the end of today (Wednesday May 17).
ECP needs to come up with proposals to resolve the competition concerns. If it does not offer anything, or if the CMA is unable to accept undertakings offered, the merger will be referred for a ‘phase two’ investigation that is substantially more in depth and will take 24 weeks.
At the end of this period the CMA must rule whether the merger can go ahead, and if not, what can be done in the interests of a competitive market.
This follows from last year’s takeover of Andrew Page by ECP on the day that the former went into administration.