UK Regulator to Refer Potential Cellnex Acquisition of CK Hutchison Assets for Further Investigation

By Anthony O. Goriainoff

The U.K.'s Competition and Markets Authority said Tuesday that it will refer Cellnex Telecom SA's proposed acquisition of CK Hutchison Holdings Ltd.'s passive telecommunications infrastructure assets in the U.K. to a phase 2 investigation.

The regulator said the undertakings presented by the parties in relation to the merger weren't a clear-cut solution to the competition concerns identified as arising from the merger.

"Accordingly, the CMA has decided not to exercise its discretion under section 73(2) of the Enterprise Act 2002 to accept undertakings in lieu of reference," the regulator said.

The CMA on July 13 said that its investigation had determined that the transaction raised concerns in relation to the independent supply of assets, which could result in a lessening of competition in the U.K. as Cellnex is already the largest independent supplier of mobile towers in the country.

Write to Anthony O. Goriainoff at [e-mail]

(END) Dow Jones Newswires

07-27-21 1224ET