The UK’s competition watchdog has confirmed the launch of a ‘phase one’ investigation into the Morrisons takeover of retailer McColl’s.
The supermarket snapped up McColl’s in a £190m rescue deal in May after the convenience chain collapsed into administration.
Probe: Morrisons napped up McColl’s in a £190m rescue deal in May after the convenience chain collapsed into administration
The Competition and Markets Authority (CMA) suggested in May it would probe the deal and forced Morrisons and McColl’s to continue to operate as separate operations until its investigations are completed.
The CMA has confirmed it will launch a phase one probe to consider ‘whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services’.
Morrisons declined to comment.
