Macquarie offers Energy Assets sale to address CMA concerns

Macquarie has offered to sell Energy Assets Group’s non-smart gas meter-reading business serving commercial customers in Great Britain to address competition concerns over its planned acquisition.

The Competition and Markets Authority is considering the proposal after its initial investigation identified risks from combining Energy Assets with Macquarie-controlled National Gas Metering. The proposed remedy was outlined in an announcement published by GOV.UK Business.

What happened

The CMA’s phase 1 investigation found that the transaction would significantly strengthen concentration in a market already served by few major suppliers. Energy Assets is currently the largest provider of the services at the centre of the investigation.

The regulator described the businesses’ combined market share as very high. It identified Stark and SMS as the only other main competitors, while noting that Macquarie also holds a minority interest in Stark.

Macquarie has proposed undertakings under which the relevant Energy Assets business would be sold to a purchaser approved by the CMA. The buyer would need to be capable of keeping that operation viable as a competitor.

The offer concerns non-domestic gas metering services involving non-smart meters. That category includes both traditional and advanced meters, rather than smart meters.

The background

Macquarie announced in February 2026 that it had agreed to acquire Energy Assets Group. Both sides of the proposed transaction provide gas metering services in Great Britain.

Those services cover the installation and maintenance of meters, alongside collecting consumption information used to prepare customers’ bills. The competition concerns addressed by the proposed disposal centre on meter reading for commercial customers using non-smart equipment.

The proposed sale therefore targets a particular part of the acquired group’s activities rather than abandoning the wider acquisition. Its purpose is to preserve an independent business able to compete after the ownership change.

What people are saying

Sorcha O’Caroll, senior director at the CMA, said Macquarie’s offer could resolve the regulator’s concerns. She said the next assessment would examine whether the divested operation could compete effectively against Macquarie once it was under new ownership.

O’Caroll also said the CMA would consult on the proposals before deciding whether to accept them. That leaves the offer subject to scrutiny rather than amounting to clearance of the acquisition.

The authority’s formal position is that there are reasonable grounds to believe the proposed undertakings, or a modified version, could be accepted. It has not yet concluded that the terms are sufficient.

What happens next

The CMA will spend the next 40 working days examining the remedy in greater detail. Its work will include seeking third-party feedback and considering prospective purchasers for the business.

An acceptable buyer is central to that assessment: the proposed disposal must leave a business capable of sustaining competition, not simply transfer ownership of the operation.

If the CMA concludes that the undertakings adequately resolve its concerns, it will accept them as legally binding commitments and conditionally clear the acquisition under the Enterprise Act 2002. That would allow the transaction to proceed without an in-depth phase 2 inquiry.

If the proposed remedy fails to satisfy the regulator, the CMA retains the option of referring the deal for a phase 2 investigation.