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.

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  1. Hopefully the CMA will see sense & force ECP to sell AP off – let AAG take them over and rebrand them as GSF all the better.

    1. and how are they going to do that…

      AAG dont own GSF!!

      if your going to say things in public domain… get the facts right first.

  2. Are you surprised about this? NO… ECP need to look closer at their own business and make sure they look after staff better… Their are certain people in certain positions outside the Branch network who are a joke! RSMs who got sacked from other factors and some managers doing things putting the business at risk because they have too big a number on their head and have to perform or they are out! No BDMs – joke!! No sales managers in some branches – joke!! Why would anyone want to move into a company like this!!! You will get no support or back up as there are too many YES men… I hope that the CMA see sense and stop it! ECP have destroyed too many business and now they are trying it with Ap! Get it right stop the rot before anymore ECP staff go into pages and turn it into a company like Euro…

    1. LKQ are the parent company, so technically yes, they did. However, ECP are the players in the replacement parts market in the UK, so in order for them to not have a monopoly on parts supply, they need to offer a solution for areas where they have over 51% of the market share.

  3. Odds are they will end up closing the AP branches in the towns/cities where there is an ECP branch.

  4. Don’t worry Jason, the CMA will take every single outlet of spare parts into consideration – all the trade clubs and the thousands of dealers, factors, shops across the country. They can’t distinguish between OE and aftermarket so it will be approved / accepted. They should nominate Sukhpal for a knighthood at the same time.

    We need independent successful companies to ensure that driving a car doesn’t just become the preserve of the wealthy. As Jeremy says “for the many not just the few”.

    1. Earlier this month, the Competition and Markets Authority (CMA) said that it would refer the deal for an in-depth investigation unless Euro Car Parts offered acceptable ways of addressing competition concerns.

      Euro Car Parts has chosen not to offer these and so the merger will now be referred for an in-depth investigation by an independent group of CMA panel members (known as phase 2). The deadline for the final decision is 5 November 2017.

      Both companies supply car parts to independent garages across the UK, and the CMA found that they compete closely with each other. Therefore, the CMA is concerned that the merger could substantially reduce competition in a number of local areas, as well as for some large customers that purchase car parts on a national basis. Customers could lose out if their suppliers are no longer competing with each other to offer the best deal.

      The phase 2 investigation group will take a fresh look at the merger before coming to its decision.

      Further information about the investigation is available on the case page.

  5. When you consider what they have done to the independent motor factors around the country and how they have dealt with the independent aftermarket, are you in any way surprised?

    1. To be honest bad press is all you will get when it comes to ECP, but you know the saying “No smoke without fire”