(Reuters) - Britain’s competition watchdog on Friday said it had determined that Spreadex's acquisition of Sporting Index's consumer-facing arm created a monopoly in the UK licensed online sports
CMA Determines Spreadex-Sporting Index Merger Creates Betting Monopoly
(Reuters) - Britain’s competition watchdog on Friday said it had determined that Spreadex's acquisition of Sporting Index's consumer-facing arm created a monopoly in the UK licensed online sports spread betting market and could require the company to sell the unit.
An independent Competition and Markets Authority (CMA) panel, which led the review, said the deal could lead to a worse user experience, limited range of products or higher prices for consumers in the UK.
A Spreadex spokesperson told Reuters in an email, "Spreadex strongly disagrees with this entirely disproportionate decision and are reviewing all available options."
Spreadex bought the "business-to-consumer" arm of Sporting Index from Sporting Group in 2023. The two companies offer online fixed-odds betting services and online sports spread-betting services to UK-based customers.
Sports spread betting differs from fixed-odds betting by enabling customers to bet on multiple potential outcomes of sporting events, rather than solely betting on whether a team wins or loses.
The CMA reopened its investigation into the deal in March after its order in November 2024 requiring Spreadex to sell the business over competition concerns was overturned by the Competition Appeal Tribunal (CAT) following an appeal by Spreadex.
"We found that the merger substantially lessens competition by removing Spreadex's only competitor in the sports spread betting market in the UK," Richard Feasey, chair of the independent panel, said in a statement.
The CMA said it will now decide whether to accept undertakings from Spreadex to sell Sporting Index or mandate the sale of the business to a CMA-approved buyer.
(Reporting by Raechel Thankam Job in Bengaluru; Editing by Janane Venkatraman and Harikrishnan Nair)
