GovWire

Car parts merger faces in-depth investigation

Competition and Markets Authority

May 10
11:01 2017

The companies both supply car parts to independent garages across the UK, and the Competition and Markets Authoritys (CMA) initial investigation found that they compete closely with each other.

The CMA believes that the merger could significantly reduce competition in a number of local areas, as well as for some large customers which purchase car parts on a national basis.

Euro Car Parts therefore has until 17 May to offer proposals to resolve the competition concerns. If it does not offer undertakings, or if the CMA is unable to accept undertakings offered, the merger will be referred for an in-depth phase 2 investigation.

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