The UK Competition Commission (CC) has today published its provisional decision on remedies for the cement sector. The CC has decided to require Hanson UK to divest two of its four GGBS (ground granulated blast furnace slag) plants at Port Talbot, Scunthorpe, Purfleet and Teesport (currently mothballed) and potentially its Glasgow and Teignmouth depots.
Hanson UK CEO Patrick O’Shea said: “We disagree with the CC’s remedies and will be challenging them. They have been taken without first sharing with the industry the financial and commercial information upon which they have been based – these critical areas of analysis have been released for the first time today."
He said the Commission had already taken significant steps to address its perceived competition issues in the UK cement market earlier this year – and mid-way through the study – by bringing in Hope Construction Materials as a new player following the Lafarge Tarmac joint venture.
Other changes have seen the FTSE 100 company CRH Plc complete a series of acquisitions to develop a new national cement distribution network.
“The market is still very much evolving, and we do not believe a fair and proper assessment can, or should, be made until a clear picture emerges from the new players,” said Mr O’Shea.
Adapted from press release by Louise Fordham
Read the article online at: https://www.worldcement.com/europe-cis/08102013/hanson_uk_to_challenge_competition_commission_findings_270/