A planned merger between TopCashback and Quidco has been cancelled after concerns of market dominance.
The Competition and Markets Authority (CMA) launched an investigation following the announcement of the planned merger. In January 2019, the CMA found that the merger would give rise to serious competition concerns.
TopCashback and Quidco are the two largest cashback websites in the UK. Following a merger, the companies would face limited competition from other suppliers of cashback websites and similar services, such as voucher websites and comparison sites. On the gov.uk website, the CMA stated that “it was concerned that the merged company would be able to decrease the amount of cashback paid to shoppers and increase advertising prices for businesses.”
TopCashback and Quidco did not attempt to address the CMA’s concerns in January. However, the two companies have now announced the cancellation of the merger.
TopCashback is headquartered in Staffordshire, while Quidco has offices in Sheffield and London.