Merger Update: Topps Tiles / CTD

Tile deal could lead to worse deals and service for home renovators and tradespeople in 4 local areas

The CMA has found that Topps Tiles' acquisition of CTD Tiles could reduce competitive deals and product choice for customers and businesses in parts of England and Scotland.

The Competition and Markets Authority (CMA) has found that Topps Tiles' £9 million purchase of 30 CTD Tiles stores raises competition concerns in 4 areas of the United Kingdom.  

Topps Tiles is the biggest specialist tile retailer in the UK. Before entering administration in August 2024, CTD was the second largest specialist tile retailer in the UK. As part of the deal Topps Tiles acquired 30 stores, as well as supporting infrastructure such as stock and all related intellectual property for CTD Tiles, CTD Architectural, and CTD Housebuilders.

Following completion of the deal the CMA received several complaints, which included concerns relating to how the deal impacted businesses and retail customers in specific areas of the country. Following a Phase 1 investigation, the CMA found that a small number of sites in Dorking, Edinburgh, Inverness and Aberdeen created competition concerns in the supply of tiles to retail customers and business customers.

The investigation found both companies compete closely for retail and business customers. After reviewing the deal, including internal documents and evidence from customers and competitors, the CMA concluded that in most areas there are sufficient remaining competitors but that in a small number of areas, the deal could lead to worse deals and service for customers.

Joel Bamford, Executive Director for Mergers at the CMA, said:

"Having looked at the evidence, we're concerned Topps Tiles' purchase of CTD Tiles may reduce competition in Dorking, Edinburgh, Inverness and Aberdeen.

"This loss of competition could lead to worse deals and service in those areas. Whether you're retiling your own home or a business that provides renovation services, the merger could make such projects more expensive.

"Topps Tiles now has the opportunity to offer solutions to our concerns, otherwise this case will proceed to a more in-depth investigation."

More information can be found on the Topps Tiles / CTD Tiles case page.

-ENDS-

Notes to editors:

1.   Topps Tiles has until Monday 24 February to submit proposals which resolve the CMA's concerns.

2.   Topps Tiles Plc (Topps) is a UK-wide tile retailer for both businesses and consumers based in Enderby, Leicestershire. It is the largest tile specialist in the UK with over 300 stores (and serves customers through direct sales teams and websites). The business is listed on the London Stock Exchange.   

3.   Topps acquired certain assets of Tildist Realisations Limited (formerly CTD Tiles Limited), including 30 of its stores, intellectual property such as branding and customer lists, and business divisions that supply tiles to architectural and housebuilder customers as part of a pre-pack administration deal. 

4.   For media enquiries, contact the CMA press office on 020 3738 6460 or press@cma.gov.uk.