The Competition and Markets Authority (CMA) has referred NortonLifeLock Inc.'s anticipated acquisition of cybersecurity provider Avast plc for an in-depth investigation following competition concerns.
The CMA said parties had until Wednesday to offer acceptable undertakings to address these competition concerns, with both firms saying they wouldn't provide any such remedies.
For that reason, the regulator has decided to refer the merger for an in-depth phase 2 investigation.
Earlier this month, the CMA warned that the deal could reduce competition in the UK market and ultimately worsen deals for consumers seeking cyber safety software, as both companies are close competitors.
Norton previously described the decision by the CMA as surprising and that it was confident the merger should go ahead. If approved, the US software company said it expects the deal with cybersecurity provider Avast to become effective in mid to late 2022.
