Amazon and Deliveroo dismiss 'speculative' CMA probe

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Amazon and Deliveroo tell the CMA that its inquiry into their proposed tie-up is based on flawed assumptions

In addition to restaurant takeaways from chains such as Byron, Pizza Express and Wagamama, Deliveroo has been experimenting with grocery deliveries.

Under the terms of the deal unveiled last May, Amazon would have a seat on the Deliveroo board but would not have superior voting rights to any other shareholder-director, according to one investor. "We are confident that we will persuade the CMA of the facts that this minority investment will add to competition, helping restaurants to grow their businesses, creating more work for riders, and increasing choice for customers.

Last week, the regulator made an unexpected intervention in another deal in the burgeoning restaurant delivery sector - Just Eat's £6bn merger with Takeaway.com of the Netherlands. Amazon recently denied a Bloomberg News report that it had offered a loan to Deliveroo while the CMA investigation runs its course.

 

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