The CMA has launched an investigation into Amazon’s deal with Deliveroo.

The inquiry was opened this morning, though an initial enforcement order was served on 24 June. It ensures both companies remain “distinct” from each other, and do not integrate until the CMA has decided whether or not to pass the deal.

The CMA said failure to comply with the enforcement order ”without reasonable excuse” could result in a fine of up to 5% of Amazon’s turnover, which could mean as much as $12bn.  

Though the CMA enforcement order has paused any deal, both parties are free to continue talks. The CMA is still deciding whether to launch an official Phase 1 investigation.

“Deliveroo and Amazon have been working closely with regulators to obtain regulatory approvals,” said a spokesman for Deliveroo.

“There are a number of major companies within the restaurant food delivery sector and this investment will enable Deliveroo to expand, innovate and, we believe, will enhance competition.

“This investment will help create jobs, help restaurants to grow their businesses and will improve choice for consumers.”

The investment took place in May, when Amazon led a $575m (£450m) Series G funding round in Deliveroo. The exact figure Amazon invested is not known. 

Deliveroo said it would use the investment to expand its delivery capacity to reach half the UK population, as well as projects such as the Editions delivery only kitchens.