Whitby Seafoods’ planned acquisition of Kilhorne Bay Seafoods is being investigated by the Competition & Markets Authority.
The scampi company planned to acquire Northern Ireland-based Kilhorne Bay through Whitby’s subsidiary Kilkeel Seafoods, also in the region.
In its invitation to comment, the CMA said it was “considering whether it is or may be the case that this transaction, if carried into effect,” would result in a “substantial lessening of” market competition.
The deal was placed under investigation by the CMA on 8 August with a notice to relevant parties.
It has given interested parties and stakeholders until 22 August to comment on the proposal with a Phase 1 decision deadline set for 4 October, which will determine if further investigation is required.
In June, Whitby Seafoods warned up to 40 of its employees may be made redundant due to falling sales and increased costs.
The Grocer approached Whitby Seafoods for comment.