Amazon and Deliveroo are preparing their fightback against a UK competition probe which put a $575 million mega-investment on ice

Reuters / Drew Angerer of Getty ImagesAmazon CEO, Jeff Bezos, and Will Shu, Deliveroo's founder.

• Amazon and Deliveroo are reportedly preparing to hit back against a UK competition probe, launched after Amazed led a massive investment into the delivery startup.
• The two are expected to brand the probe as "speculative and not supported by evidence", Sky News reported.
• The Competition and Markets Authority has said it's concerned that the investment could result in a close tie-up between the two firms and a reduction in competition.
• A Deliveroo company spokesperson told Business Insider that the firm is "confident" it will "persuade the CMA of the facts that this minority investment will add to competition."
• Visit Business Insider's homepage for more stories.

Amazon and Deliveroo are preparing to fight back against a UK competition probe which threatens to kowtow the retail giant's multimillion-dollar investment into the UK delivery startup.

According to Sky News, the two firms will argue that the Competition and Markets Authority's (CMA's) ongoing investigation is "speculative" and lacks in evidence.

In a statement sent to Business Insider, a Deliveroo spokesperson said: "Deliveroo has been working closely with the CMA and will continue to do so.

"We are confident that we will persuade the CMA of the facts that this minority investment will add to competition, helping restaurants to grow their businesses, creating more work for riders, and increasing choice for customers.

"Deliveroo is a British company operating right across the country and this investment will be particularly beneficial to the UK economy," the statement added.

ReutersDeliveroo told Business Insider that Amazon's investment would be "particularly beneficial to the UK economy."

The CMA raised the spectre of a competition probe shortly after Amazon led a $575 million investment in Deliveroo in May 2019. It then launched an in-depth probe in December 2019.

The watchdog has argued that the investment could reduce competition in the takeaway sector, since it might effectively prevent Amazon launching a rival delivery service in the UK.

Deliveroo is an app-driven food delivery service founded in the UK and active in 12 countries, comparable to Uber Eats in the US.

Business Insider has approached Amazon for comment.

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