Benzinga | Nov 29, 2021 09:14AM EST

Meta-Giphy Deal Likely To Face UK Regulatory Headwind

* The Competition and Markets Authority (United Kingdom looks to reverse the Meta Platforms Inc's (NASDAQ: FB) acquisition of online gif platform Giphy, Financial Times reports.

* The U.K. competition watchdog has been investigating the deal since June 2020.

* In August, the CMA provisionally ruled Meta to sell Giphy due to competition concerns.

* CMA argued Meta could cut off its rivals' access to gifs and demand platforms like TikTok or Snap Inc (NYSE:SNAP) Snapchat hand and remove a Meta competitor from the U.K. display advertising market. Meta has until December 1 to make a final call.

* Facebook controls 40% - 50% of the U.K. display advertising market.

* Related Content: U.K. Antitrust Law Could Jeopardize Facebook's Giphy Acquisition: Report

* Price Action: FB shares traded higher by 1.30% at $337.45 in the premarket session on the last check Monday.