The Competition & Markets Authority (CMA) has concluded its investigation into Topps Tiles' £9m acquisition of CTD Tiles, and approved Topps Tiles' proposed undertakings to 'remedy, mitigate or prevent the competition concerns' the authority previously raised.
Topps Tiles is the biggest specialist tile retailer in the UK. Before entering administration in August 2024, CTD was the second largest specialist tile retailer in the UK. As part of the deal Topps Tiles acquired 30 stores, as well as supporting infrastructure such as stock and all related intellectual property for CTD Tiles, CTD Architectural, and CTD Housebuilders.
Following completion of the deal the CMA received several complaints, which included concerns relating to how the deal impacted businesses and retail customers in specific areas of the country. Following a Phase 1 investigation, the CMA found that a small number of sites in Dorking, Edinburgh, Inverness and Aberdeen created competition concerns in the supply of tiles to retail customers and business customers.
However, in February this year Topps Tiles offered undertakings to divest the stores in these 4 areas, a process that is set to be completed in the coming months. In a statement, the CMA said that it considered this outcome 'as comprehensive a solution as is reasonable and practicable', adding that the merger will not now be referred for a Phase 2 investigation.
