BREAKING NEWS

BREAKING NEWS

UK's CMA says it may accept Rentokil's proposals on Mitie deal

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(Reuters) - Britain's competition watchdog said on Tuesday it may greenlight Rentokil Initial Plc's proposals addressing concerns on the company's already completed takeover of Mitie Group Plc's pest control arm.

The Competition and Markets Authority (CMA), which had raised questions over pricing and choices available to customers after Rentokil's deal, said it had received proposals related to the acquisition of MPCL Ltd from Rentokil on April 23.

"The CMA has considered the undertakings offered and it considers that there are reasonable grounds for believing that the undertaking offered, or a modified version of it, might be accepted by the CMA to remedy the substantial lessening of the competition identified by the CMA," the watchdog said in a statement.

Mitie had sold the business to Rentokil for 40 million pounds last year, and Rentokil had until April 23 to send its proposals to the CMA.

Rentokil did not immediately respond to a request for comment. Mitie declined to comment.

The CMA will have to decide by June 27 whether to accept Rentokil's proposals. It could also extend the deadline to August 22 if required.

(Reporting by Pushkala Aripaka in Bengaluru; Editing by Saumyadeb Chakrabarty)

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