The UK competition regulator has decided to investigate Tesco proposed $4.75 billion cash and stock deal to acquire food wholesaler Booker Group.
The Competition and Markets Authority said Tuesday the first phase of its investigation into the consequences for competition in the sector would run until July 25.
Tesco agreed in January to buy Booker for 3.7 billion pounds ($4.76 billion), a deal which combines the UK’s largest retailer with the country’s largest food wholesaler, a surprise move that could bring hefty cost savings for the supermarket operator.
The CMA investigation follows Tesco’s formal notification to the regulator of the Booker transaction.
Full Content: Financial Times
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