Heineken: UK's CMA expresses concerns over Punch deal.
(CercleFinance.com) - The UK's Competition and Markets Authority (CMA) has expressed concerns about the merger between Heineken and Punch Taverns, and called on the Dutch brewer to offer some proposals.
After looking at areas where pubs operated by Heineken and Punch currently compete, the CMA has identified 33 local areas in Great Britain where their pubs would not face sufficient competition after the merger.
The situation could lead to price increases or a deterioration in the quality of the service, according to the CMA.
Heineken must now offer proposals to address these concerns by 20 June or face an in-depth investigation into the merger, it added in a statement.
In a press release, Heineken said it intended to offer "acceptable" undertakings, stating that the decision by the CMA only relates to "a small number of local areas".
Copyright (c) 2017 CercleFinance.com. All rights reserved.
After looking at areas where pubs operated by Heineken and Punch currently compete, the CMA has identified 33 local areas in Great Britain where their pubs would not face sufficient competition after the merger.
The situation could lead to price increases or a deterioration in the quality of the service, according to the CMA.
Heineken must now offer proposals to address these concerns by 20 June or face an in-depth investigation into the merger, it added in a statement.
In a press release, Heineken said it intended to offer "acceptable" undertakings, stating that the decision by the CMA only relates to "a small number of local areas".
Copyright (c) 2017 CercleFinance.com. All rights reserved.