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.
CD&R is the owner of the Motor Fuel Group (MFG), the largest independent operator of petrol stations in the United Kingdom, with 921 sites, while Morrisons, which is predominantly a groceries retailer, operates 339 petrol stations across England, Scotland and Wales. The CMA’s Phase 1 investigation focused on local areas where both businesses operated petrol stations.
Following its Phase 1 investigation, the CMA found that the deal raises competition concerns in relation to the supply of petrol and diesel road fuel in 121 local areas across England, Scotland and Wales – so could lead to higher prices for motorists in these locations.
In order to address these concerns, CD&R has now offered to divest 87 of MFG’s petrol stations to a purchaser or purchasers to be approved by the CMA.
The CMA is minded to accept these proposals, which appear to be suitable to restore the loss…
