Sir Jim Ratcliffe Criticises Competition And Markets Authority’s “Increasingly Hostile” Attitude to Business.

• The UK’s Competition and Markets Authority (CMA) has blocked INEOS acquisition of a $1 billion concrete additives business from Sika AG.
• The business employs more than 1600 people across the world, producing concrete admixtures essential for the construction industry.
• The CMA’s decision has resulted in the business being acquired by US owners rather than becoming a mainstream UK business.
• Sir Jim Ratcliffe, Founder and Chairman of INEOS, says, “The CMA and UK government are becoming increasingly hostile to business. This is yet another example of a deal being stopped that would benefit the UK and handed over to the Americans who were absolutely delighted. Add to this, the ridiculous North Sea windfall tax and continuing high energy costs and we are seeing a government that is driving business out of the UK.”

INEOS signed an agreement in January to acquire the concrete admixtures business from Sika AG. The business has operations on thirty-five sites across the world and sales of $1 billion.

It employs more than 1600 people and produces a broad chemicals portfolio for concrete manufacturing and underground construction.

INEOS and Sika jointly submitted the deal to the Competitions and Markets Authority for approval on 7th March and received negative feedback just nine days later despite having no competing business.

Despite requests, the authority refused a face-to-face meeting and stuck to its initial negative position despite substantial supporting evidence submissions from INEOS.

The business was subsequently sold to an American buyer, so depriving the UK of ownership of a strong and growing business. INEOS believes that the government needs to take a much more positive approach to such deals to reverse the long-term decline in UK manufacturing.

Sir Jim Ratcliffe adds, “The CMA is building a reputation as an overly aggressive regulator with little regard for the impact of its decisions on UK business. Its attitude is mirrored in the lack of government support for manufacturing; whether in reviews such as this, or in our uncompetitive approach to energy policy.”

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