The CMA has now formally accepted undertakings in lieu (UILs)
from CD&R in relation to its acquisition of the supermarket
Morrisons, allowing the merger to proceed.
In January, the Competition and Markets Authority (CMA) opened
its investigation into Clayton, Dubilier & Rice Holdings
LLC’s (CD&R) £7bn purchase of Wm Morrisons Supermarkets Ltd.
Following its Phase 1 investigation, the CMA found that the deal
raised competition concerns in relation to the supply of petrol
and diesel road fuel in 121 local areas across England, Scotland
and Wales, which could have led to higher prices for motorists in
these locations.
CD&R offered to divest 87 of MFG’s petrol stations and the
CMA announced in May that
it was minded to accept these proposals, and would consult on
them. While the number of petrol stations CD&R will sell is
lower than the number of areas in which concerns were identified,
the sale of some petrol stations would address the concerns in
multiple areas.
The CMA has today accepted CD&R’s proposals, meaning the deal
is cleared to proceed. The consultation did not raise any
substantial concerns. CD&R will have to divest a list of 87
sites (set out in the notice of consultation) to a purchaser or
purchasers which will need to be approved by the CMA.
More information is available on the CD&R / Morrisons merger
inquiry page.
