The Competition Bureau is challenging the acquisition of a grain elevator in Manitoba by Parrish and Heimbecker from Louis Dreyfus Co.
The bureau says it has filed an application with the Competition Tribunal seeking an order requiring P&H to sell either its own elevator in Moosomin, Sask., or the newly acquired elevator in Virden, Man.
The regulator says P&H controls both grain elevators which were close competitors along a 180-kilometre stretch of the Trans-Canada Highway.
The acquisition eliminates the rivalry, the bureau says.
P&H announced in September a deal to acquire 10 Louis Dreyfus locations across Manitoba, Saskatchewan, Alberta and British Columbia.
The deal significantly increased its grain and crop input footprint across Western Canada.