Bouygues and Equans Offer Proposals to Address CMA’s HS2 Contract Concerns

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• Bouygues and Equans Offer Proposals to Address CMA’s HS2 Contract Concerns

02 August 2022 | Updated 31 August 2022

In the latest update of the Competition and Markets Authority’s inquiry into a possible breach of competition law by the merger of Bouygues and EQUANS, the two companies have both submitted proposals to “remedy competition concerns”.

After the Competition and Markets Authority (CMA) announced the launch of its merger inquiry on 19 July 2022, Bouygues and EQUANS were permitted to submit proposals to address the accusations.

On 2 August 2022, the CMA announced that it would look into these proposals and consider that there may be “reasonable grounds” to believe that undertakings offered by the companies “might be accepted by the CMA under the Enterprise Act 2002.”

Phase 2 Investigation Into HS2 Contract Possible

If competition concerns are not adequately addressed by these proposals, the merger will be referred for an in-depth Phase 2 investigation.

Both businesses are competing for contracts to supply HS2 with services to install and maintain overhead power cables, and there is a concern from the CMA that the merger of the two companies may make the remainder of the tender process less competitive.

Catch up with the latest on this story:

• Bouygues and Equans to Withdraw One of Their HS2 Bids

Picture: a photograph of the new HS2 tunnel at Euston station. Image Credit: HS2

Article written by Ella Tansley | Published 02 August 2022

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