CMA provisionally clears Amazon and Deliveroo tie-up after investigation

Deliveroo bike

The Competition and Markets Authority (CMA) has provisionally cleared Amazon and Deliveroo’s prospective tie-up, after finding the food delivery app’s financial position has “deteriorated”.

Ecommerce giant Amazon announced in May last year it would be leading on a £450m investment in Deliveroo as part of a wider consortium, but the plan was initially blocked and investigated by the CMA.

The authority had concerns the deal would “result in Amazon and Deliveroo ceasing to be distinct” enterprises.

However, the watchdog said today it had provisionally cleared the tie-up after Deliveroo said that without Amazon’s investment it would “fail financially and exit the market”.

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