UK competition watchdog starts formal probe into Barratt-Redrow deal
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 14 2024
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Source: reuters
- Competition Investigation: Britain's competition regulator is investigating Barratt's 2.52 billion pound all-stock deal to acquire Redrow to assess potential competition concerns.
- Barratt's Acquisition: Barratt's purchase of Redrow would solidify its position as one of the largest builders in Britain, boosting the housing sector recovering from a challenging period.
- Recent Sector Consolidation: The UK housing sector has witnessed significant consolidation, such as Vistry's acquisition of Countryside for 1.25 billion pounds in 2022.
- Bid Rejection: Homebuilder Bellway proposed an all-share bid to acquire Crest Nicholson, which was rejected by the latter.
- CMA Decision: The Competition and Markets Authority has until August 8 to determine if the Barratt-Redrow deal will diminish competition in the UK.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
