29th Nov 2021 10:16
(Alliance News) - Grafton Group PLC on Monday noted that the UK Competition & Markets Authority has found that the company's GBP520 million sale of its Merchanting business to builders merchant Huw Gray will lead to a substantial lessening of competition in the UK.
As a result, the UK regulator will either refer the deal to a phase two investigation unless an acceptable undertaking is made by the parties to address concerns by Monday next week.
Grafton said it is considering whether it will accept an undertaking to avoid a phase two reference, and stressed that the sale, which is due to be completed by the end of February 2022 is not conditional on the outcome of the CMA process.
At the start of July, the Dublin-based DIY retailer announced the sale of its merchanting business, which includes Grafton's Buildbase, the Timber Group and NDI brands among others.
Shares in Grafton were up 0.8% at 1,173.00 pence on Monday in London.
By Dayo Laniyan; [email protected]
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