A PYMNTS Company

UK Raises Concerns About £178M Breedon Deal

 |  August 27, 2020

The latest deal by Breedon, the acquisitive quarry operator and construction materials group, has hit a minor pothole, with the competition watchdog raising reservations.

Breedon has agreed a £178 million (USS$235.2 million) acquisition of about a hundred quarries, ready-mixed concrete facilities, asphalt plants, and a cement terminal from Cemex, the Mexican multinational.

However, the Competition and Markets Authority has concluded that the deal raises issues in 15 local markets where Breedon and/or Cemex were already dominant, particularly in the cement market in eastern Scotland.

There are few players in the aggregates sector and a perennial worry is that if there is not enough competition, the price of construction materials will go up, increasing the costs of infrastructure and building in general.

Full Content: The Times

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.