UK’s CMA unconditionally clears merger between well-known providers of industrial maintenance, repair, and overhaul (MRO) products and services

The UK’s Competition and Markets Authority (CMA) recently announced that it has unconditionally cleared the acquisition of Eriks UK & Ireland by Rubix. The deal had already been cleared by Ireland’s Competition and Consumer Protection Commission.  

The Parties are distributors of industrial maintenance, repair and overhaul (MRO) products and associated services to manufacturing and other industries in the UK.  The CMA raised horizontal concerns and investigated national and local theories of harm.  RBB made several economic submissions in respect of both theories including, inter alia, market shares, local catchment areas, the Parties’ tender opportunities, and customers’ purchasing patterns.  The CMA found that sufficient competition would remain to constrain the Parties in both instances not only from rival distributors but also from original equipment manufacturers (OEMs), who were considered by the CMA to exert an out-of-market constraint.    

RBB’s team led by Ethel FonsecaEthel FonsecaPartner and Daniel GoreDaniel GorePartner, supported by Ricky MannRicky MannAssociate Principal, Silvia BugadaSilvia BugadaSenior Associate, João MatiasJoão MatiasSenior Associate and Walter NúñezWalter NúñezSenior Associate, assisted Rubix and its legal advisors Weil, Gotshal & Manges LLP throughout the course of the matter.