Breedon’s purchase of certain Cemex assets raises competition concerns in the supply of building materials in some parts of the UK, the Competition and Markets Authority (CMA) has found.
Breedon Group and Cemex Investments are 2 of the leading producers and distributors of construction materials in the UK and Ireland. Breedon announced in January 2020 that it had agreed a £178 million (US$234.97 million) deal to buy approximately 100 Cemex sites, including aggregates quarries, ready-mixed concrete facilities, asphalt plants, and a cement terminal across the UK.
All of these materials are widely used in the UK construction industry as essential components in the construction of roads, buildings, and other infrastructure.
Following its initial Phase 1 investigation, the CMA found that the deal gives rise to competition concerns in relation to the supply of ready-mixed concrete, non-specialist aggregates or asphalt in 15 local markets across the UK. In all of these local markets, the 2 businesses currently have a large presence and compete closely, with limited competition from other suppliers.
Full Content: Gov UK
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
