James Pascoe Limited - proposed acquisition of Angus & Coote (Holdings) Limited
Type of assessment
Informal Review
Reference
26169
Acquirer(s)
James Pascoe Limited
Target(s)
Angus & Coote (Holdings) Limited
Industry
Jewellery & Giftware
Summary
James Pascoe Ltd proposes to acquire all of the issued shares in Angus & Coote (Holdings) Ltd.
Outcome of assessment
Not opposed
Total review days *
31
Commenced public review
30th November 2006
Date completed
16th January 2007
Market definition
The ACCC considered the impact of the proposed acquisition on narrow local markets for the sale of jewellery and watches by retail chain stores and multiple outlet jewellers.
Competition analysis
The ACCC formed the view that the proposed acquisition was unlikely to result in a substantial lessening of competition in any relevant market.
In making its decision, the ACCC noted that the merged entity would continue to face competition from other jewellery retail chains and multiple outlet jewellers such as Michael Hill and Zamel's (which also owns the Mazzucchelli and Vivien's brands), and to a lesser extent, independent jewellers (many of which are members of jewellery buying groups) and a range of other retailers selling jewellery and watches. The ACCC also took into account barriers to entry, which appeared to be low to moderate depending on the size and type of new entry or expansion, given the financial costs involved and the potential significance of brand recognition.
Accordingly, the ACCC decided not to oppose the proposed acquisition.
Review timeline
Date
Event
30th November 2006
ACCC commenced review under the Merger Review Process Guidelines.
4th December 2006
Market inquiries commenced.
20th December 2006
Closing date for submissions from interested parties.
16th January 2007
ACCC decided not to oppose the proposed acquisition.
* Total Review days = Total business days less public holidays and time during which the review was suspended.
