However, the Competition and Consumer Protection Commission (CCPC) announced yesterday that following a preliminary investigation, it has decided that a full investigation is needed to establish whether allowing the purchase to go ahead will result in a substantial lessening of competition in the State.

Under competition law, the CCPC must assess certain mergers and acquisitions in order to prevent harmful effects on competition. The CCPC said it will consider the potential impact of mergers and acquisitions on consumers, such as changes to price, consumer choice, quality and innovation.

In July, Circle K said the acquisition would build on its sustained investment in the Irish market since its arrival in 2016, with a total of €230m invested in that period. This has included new filling stations on motorways, residential and city centre locations, the upgrade and development of existing locations.

Circle K in Ireland operates more than 400 filling stations employing 1,232 employees. More than 240 of these stations are owned by independent operators with the remainder under direct ownership. 

Circle K Ireland is part of the wider global Circle K fuel supplier and convenience store network headquartered in Arizona, USA, and ultimately owned by Canadian multinational Alimentation Couche-Tard.

Most recent accounts for the company's Irish subsidiary Circle K Energy show it increased revenues in the 12 months to the end of April 2023 to €1.73bn compared to €1.4bn the previous year. They said the impact of higher inflation on direct costs resulted in gross profit falling slightly to €55.8m.

The CCPC said it will accept submissions on the proposed acquisition up until December 19 with a decision expected next year.