The UK Competition & Markets Authority (CMA) has launched an investigation into the merger of Capital & Counties Properties and Shaftesbury.
It is considering whether a merger between the two companies would result in ‘a substantial lessening of competition within any market or markets in the UK’.
The planned merger between Capital & Counties Properties and Shaftesbury would see large swathes of popular tourist destinations including Soho, Covent Garden, Carnaby Street and Chinatown under their combined ownership.
Probe: The UK Competition & Markets Authority has launched an investigation into the merger of Capital & Counties Properties and Shaftesbury
The combined firm is set to control 2.9m square feet of prime real estate in central London, including shops, restaurants, offices and housing.
The CMA said the merger inquiry has a deadline of February 22 for its phase 1 decision.
In June, the two companies agreed final terms for their all-share merger to create a London-focused property investor with a combined portfolio value of £5billion, with the deal previously slated for completion in the first quarter of 2023.
The new company is to be called Shaftesbury Capital.
The deal will bring to an end a courtship that pre-dates the coronavirus pandemic,
Both firms have long talked up the merits of a tie-up that would give the combined group control over one of the capital’s most popular retail and leisure destinations.
