THE Competition and Markets Authority (CMA) has accepted a proposal from Breedon to sell 14 production and distribution sites in order to resolve competition concerns.
Breedon announced earlier this year that it had agreed a deal to buy around 100 Cemex sites, including aggregates quarries, ready-mixed concrete facilities, asphalt plants and a cement terminal, across the UK.
Competition concerns were raised by the CMA in relation to the supply of ready-mixed concrete, non-specialist aggregates or asphalt in 15 local markets across the UK. There was also concern that the merger could make it easier for cement suppliers in the east of Scotland to align their behaviour in a way that limits rivalry between them.
In response, Breedon offered to sell a mix of 14 sites in the local areas where the CMA identified competition concerns, to Tillicoultry Quarries Limited. This has now been approved by the CMA, meaning the merger will not be referred for an in-depth Phase 2 investigation.
