Watchdog launches formal inquiry into helicopter merger
- Published
The merger of Babcock's helicopter unit with CHC was first announced in March
The competition watchdog has launched a formal inquiry into the merger of helicopter firm CHC Group and Babcock's Aberdeen-based aviation division.
The companies reported on 1 September that they had completed the 拢10m deal, which was first announced in March.
But the Competition and Markets Authority (CMA) said it was now formally looking into the merger.
It will decide whether to clear the deal or refer it for further investigation by 18 November.
The formal inquiry comes after the watchdog issued an initial enforcement letter regarding the sale in May. It has the power to investigate mergers even after they have been completed.
In a statement on Friday, the CMA said it was considering whether "the creation of that (merger) situation has resulted, or may be expected to result, in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services".
The aviation business, which merged with CHC, provides offshore oil and gas crew transport services in the UK, Denmark and Australia.
It employs more than 500 people and operates about 30 aircraft.
- Published11 March 2021
