Financial and commodity markets operator Intercontinental Exchange should consider reversing its $650 million takeover of commodities trading software house Trayport to avoid reducing competition in European energy trading markets, Britain’s competition watchdog said on Tuesday.
ICE beat arch-rival CME Group to buy London-based Trayport in December last year but the UK’s Competition and Markets Authority (CMA) launched an in-depth investigation in May after deciding that the tie-up might be expected to result in a substantial lessening of competition.
On Tuesday the CMA said following the investigation it was still concerned that ICE could use its ownership of Trayport’s platform to reduce competition between ICE and its rivals.
“This loss of constraint could lead to increased fees for execution and clearing, and worse terms offered to traders,” the CMA said in a statement.
“The merger could also result in a loss of competition between ICE and its rivals to launch new products, find innovative trading solutions and enter markets with new offerings.”
It set out possible “remedies” for public consultation before it makes a final ruling.
“If remedies are ultimately required, ICE is confident that they will be in line with how ICE intends to operate Trayport as an open and autonomous software provider,” ICE said in a statement.
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.
Featured News
Trump Nominates Olivia Trusty for FCC Commissioner Role Ahead of Inauguration
Jan 16, 2025 by
CPI
Lawyers Claim eXp’s Settlement Tactics Hurt Antitrust Case Potential
Jan 16, 2025 by
CPI
Amex GBT Pushes Back Against DOJ Lawsuit Over CWT Acquisition
Jan 16, 2025 by
CPI
Belgium Opens Antitrust Probe into AB InBev’s Market Practices
Jan 16, 2025 by
CPI
Tech Groups Sue CFPB Over New Rule on Digital Wallet Oversight
Jan 16, 2025 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – CRESSE Insights
Dec 19, 2024 by
CPI
Effective Interoperability in Mobile Ecosystems: EU Competition Law Versus Regulation
Dec 19, 2024 by
Giuseppe Colangelo
The Use of Empirical Evidence in Antitrust: Trends, Challenges, and a Path Forward
Dec 19, 2024 by
Eliana Garces
Some Empirical Evidence on the Role of Presumptions and Evidentiary Standards on Antitrust (Under)Enforcement: Is the EC’s New Communication on Art.102 in the Right Direction?
Dec 19, 2024 by
Yannis Katsoulacos
The EC’s Draft Guidelines on the Application of Article 102 TFEU: An Economic Perspective
Dec 19, 2024 by
Benoit Durand