The merger between UK construction equipment auctioneer Euro Auctions and Canada-based Ritchie Bros Auctioneers has officially been scrapped, following the UK Competitions and Markets Authority鈥檚 (CMA) decision to launch a Phase II investigation into how the merger would affect competition in the wider market. 

Northern Ireland-based Euro Auctions said Ritchie Bros decided not proceed with the Phase II investigation as it believes 鈥渢here is no realistic prospect for approval by the CMA鈥�.

鈥淎s a result, the anticipated transaction between Euro Auctions and Ritchie Bros. will not be concluded.鈥�

The two equipment auction specialists originally agreed the merger 鈥� reported to be worth around 拢775 million 鈥� in August 2021.

However, the CMA raised 鈥渃oncerns鈥� during Phase I of the acquisition process and, following the rejection of a subsequent remedy proposed by Ritchie Bros and Euro Auctions, the authority opted to move to a Phase II investigation.

Ann Fandozzi, the company鈥檚 Chief Executive Officer, said, 鈥淲e are disappointed by the decision taken by the CMA to refer the proposed acquisition to a Phase 2 review and respectfully disagree with their views.鈥�

鈥淲hile we believe the proposed acquisition would have accelerated our strategy, we remain committed to forging ahead in our transformational journey to become the trusted global marketplace for insights, services and transaction solutions.鈥�

In a statement, Euro Auctions thanked 鈥渋ts customers and suppliers and in particular its employees for their continued loyalty鈥�.

Derek Keys, Euro Auctions Founder and Director, said, 鈥淲e believe that Euro Auctions unreserved model provides our customers with an honest and transparent way to buy and sell heavy equipment globally supported by best in class service from our highly experienced staff.

鈥淲e look forward to accelerating the growth of the Euro Auctions business as an independent global operator.鈥�