The odds of a favourable regulatory outcome for the proposed merger between Ladbrokes and Gala Coral appeared to improve yesterday as the Competition and Markets Authority agreed to fast-track its in-depth investigation.
Announcing the phase 2 investigation, the CMA said it believed that the loss of competition between Ladbrokes’ and Coral’s betting offices in local areas where the choice would be reduced to only one or two betting shops “may lead to a worsening of their offer to customers”.
Analysts said that, if the CMA were to base its decision only on such local competition criteria, the two companies would probably have to sell or close no more than 400 of the combined estate of 4,000 shops to get the deal through.
There had been