Warner Bros. Discovery's (WBD) acquisition by Paramount Skydance is facing a UK antitrust review after the Competition and Markets Authority (CMA) launched an investigation into the proposed deal, the watchdog said Tuesday.

The CMA said it will examine whether the transaction would create a relevant merger situation under the Enterprise Act 2002 and whether it could lead to a substantial lessening of competition in any UK market.

The regulator notified the parties of the inquiry on June 9 and said it has until Aug. 7 to make a Phase 1 decision.