UK Regulator to Reassess Spreadex’s Acquisition of Sporting Index Division

Britain’s Competition and Markets Authority (CMA) will re-examine Spreadex’s acquisition of Sporting Index’s consumer-facing division after the Competition Appeal Tribunal (CAT) overturned its initial ruling, according to Reuters.

The CMA had previously ordered Spreadex to divest the business it acquired from Sporting Index in 2023 due to concerns that the deal could negatively impact competition within the online sports spread-betting market. However, per Reuters, Spreadex contested this ruling, leading to an appeal with the CAT. The tribunal sided with Spreadex on March 4, compelling the CMA to conduct a fresh review of the acquisition.

A spokesperson for Spreadex, in an emailed statement to Reuters, expressed optimism about the new investigation. “We hope that in this new review, the CMA will be able to reach a … decision that best serves the interest of Sporting Index, its customers, and the wider UK economy,” the spokesperson stated.

Read more: UK Watchdog Clears Spreadex Sale of Sporting Index Amid Monopoly Fears

This development marks a significant step in the ongoing regulatory scrutiny surrounding the spread-betting industry, as authorities seek to balance market competition with corporate acquisitions. The CMA has not yet provided a timeline for its reassessment of the case.

Source: Reuters