CMA considering oil and gas engineering services merger remedyStaff Writer | August 16, 2017
The CMA is considering proposals to overcome competition concerns regarding Wood Group’s purchase of Amec Foster Wheeler.
Britain The companies provide engineering services
The Competition and Markets Authority (CMA) conducted an investigation into the merger and found competition concerns in the supply of engineering and construction services and operation and maintenance services in the UK.
In order to address the CMA’s competition concerns the companies have offered to sell off almost all of Amec Foster Wheeler’s assets which contribute to these services in its Upstream Offshore oil and gas business in the UK.
The CMA considers there are reasonable grounds for believing that these undertakings, or a modified version of them, might be acceptable and it will open a public consultation on the offer in due course.
As part of its process, the CMA will undertake a public consultation.
If the CMA does not accept the undertakings proposed, the merger will be referred for an in-depth investigation. ■