9th Oct 2026 15:51
(Alliance News) - Macquarie Group Ltd has proposed selling Energy Assets Group's gas metering services business to remedy concerns from the Competition & Markets Authority's probe of the EAG takeover, the UK regulator said on Friday.
Sydney-based diversified financial group Macquarie agreed in February to acquire Scotland-based Energy Assets Group from its consortium of owners, which includes Swiss Life Holding AG. EAG owns and operates smart meter and last-mile utility connections infrastructure.
However, the CMA issued an invitation to comment on the takeover in May, before announcing in September that the deal "may be expected to result in a substantial lessening of competition" in the UK. Both Macquarie and EAG provide gas metering services in Great Britain.
"Having concluded its phase 1 investigation, the CMA found that the merger between Macquarie-controlled National Gas Metering and EAG, currently the largest supplier of these services, would materially increase concentration in an already concentrated market," the regulator explained on Friday. "The combined market share of these businesses is very high, and the only other main competitors are Stark (in which Macquarie maintains a minority interest) and SMS."
It said Macquarie's suggested remedy would result in EAG selling its non-domestic, non-smart gas metering services business, which provides meter readings for commercial customers, "to an approved purchaser who can maintain it as a viable competitor in the market."
The CMA intends to consider the proposal "in more detail...including seeking third-party feedback and considering potential buyers," within 40 working days.
"If the CMA is satisfied that the undertakings effectively address its concerns, it will conditionally clear the deal," it said. "Otherwise, the CMA can still refer the transaction for a phase 2 investigation."
"We believe Macquarie's proposals have the potential to resolve our competition concerns," commented CMA Senior Director Sorcha O'Caroll. "We will now carry out a more detailed assessment to ensure that EAG's non-smart gas metering business – once sold – will be able to compete effectively with Macquarie.
"We will consult on these proposals before making a final decision on whether to accept them."
Macquarie shares closed up 0.6% at AUD248.37 in Sydney on Friday, before the CMA's announcement was published at midday UK time.
By Emma Curzon, Alliance News reporter
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