CMA intervenes after Breedon Aggregates buys rival business

Thu, 19 Nov 2015 | BUSINESS SALE

Building materials firm Breedon Aggregates has agreed to buy a rival for £336 million.

However, the acquisition of Hope Construction Materials, which would add a further 160 operational sites to its already huge portfolio of UK assets, has come at a price. Breedon has revealed that it is facing the prospect of having to offload a number of concrete plants to satisfy the UK’s anti-monopoly watchdog.

The Competition and Markets Authority (CMA) works to ensure companies now relax a stranglehold of the market so there is room for competitors to trade as well. Breedon's purchase of Hope Construction Materials could infringe upon the CMA's policies, meaning it is going to have to scale back its expanded operations.

At present Breedon has 59 concrete plants in the UK, but that number will rise to 211 once the takeover goes through. It would be the second time that the CMA has had to intervene following one of Breedon's business acquisitions, the first being when the Derby-based firm bought Aggregate Industries UK’s Scottish assets for £34 million.

Breedon chief executive Simon Vivian confirmed: "We do not produce cement, they [Hope] do not produce asphalt. Also, their quarries do not overlap with ours.

"But there is some overlap with concrete. We are likely to have to sell some UK concrete plants."


Find a business for sale


Share this article



Latest Businesses for Sale

Import & Export Business
Kent, South East, UK

Relocatable. Long standing contracts. Significant room for expansion. International connections. Offers Invited.

Asking Price: £120,000
Turnover: £432,000

RELOCATABLE


Licensed Thai Restaurant & Takeaway
Somerset, South West, UK

Fantastic Freehold restaurant opportunity in a quaint Somerset market town. With an immediate population of 45,000, and around 70,000 visitors annually, this restaurant benefits well from local and visiting trade. Offers invited.

Asking Price: £165,000
Turnover: £82,000

FREEHOLD


Debt Collection Agency
South East, UK

Well-established debt collection agency in Southend-on-Sea. Essex. In close proximity to the M25. They are ideally located. Being a telephone collection agency, they are able to cater for clients countrywide. Offers invited.

Asking Price: £198,000
Turnover: £350,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
21
 
May
 
 
17
 
May
 

Greater Manchester staffing firm acquires security services company | BUSINESS SALE

A security services business headquartered in Newton-le-Will...

 
16
 
May
 

Midlothian IT company enters administration with assets up for sale | ADMINISTRATION

An Edinburgh-based IT firm has collapsed into administration...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
11
 
Apr
 

Marshalls to sell quarries to Breedon Aggregates | BUSINESS SALE

Marshalls has confirmed that it has plans to sell four of it...

 
15
 
May
 

Rouse Readimix takeover proves successful | BUSINESS SALE

The takeover of Rouse Readimix by Breedon Aggregates in 2011...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources