UK antitrust regulator looking at SLB-ChampionX deal

UK’s Competition and Markets Authority is deciding if it will start a more in-depth review into SLB’s (SLB) $7.8B all-stock deal for oilfield services company ChampionX (NASDAQ:CHX).

The CMA is asking for comments on the deal by Dec. 10, according to a posting on the regulator’s website. The antitrust regulator hasn’t launched a formal inquiry into the deal.

“The Competition and Markets Authority (CMA) is considering whether it is or may be the case that this merger, if carried into effect, will result in the creation of a relevant merger situation under the merger provisions of the Enterprise Act 2002 and, if so, whether the creation of that situation may be expected to result in a substantial lessening of competition within any market or markets in the United Kingdom for goods or services,” the regulator wrote.

The news comes after SLB said in early July that it received a second request from the U.S. Department of Justice about the transaction.

The deal spread widened to $1.31 on Tuesday from $1.24 on Tuesday.

SLB, formerly Schlumberger, announced in April that it agreed to acquire ChampionX (CHX) in an all-stock deal, saying it will strengthen its leadership position in oilfield services with world-class production chemicals and artificial lift technologies.