Force Corp Pty Ltd - proposed acquisition of SA Access Equipment Pty Ltd
Type of assessment
Informal Review
Reference
28368
Acquirer(s)
Force Corp Pty Ltd
Target(s)
SA Access Equipment Pty Ltd
Industry
Hire Equipment
Summary
Force Corp Pty Ltd proposes to acquire SA Access Equipment Pty Ltd
Outcome of assessment
Not opposed
Total review days *
25
Commenced public review
25th May 2007
Date completed
29th June 2007
Market definition
The proposed acquisition has been considered in the context of a South Australian market for access hire equipment, with local areas of close competition.
Competition analysis
The ACCC considers that the proposed acquisition is unlikely to substantially lessen competition as:
- the merged firm would face significant competition from existing players in the market, in particular Coates, as well as competition from other national suppliers of access hire equipment and regional suppliers; and
- the merged firm is likely to be constrained by the threat of new entry or expansion. Barriers include building a fleet of access equipment and branch representation. These barriers are unlikely to deter entry and expansion in the relevant market, in the event hire rates increased above competitive levels.
Review timeline
Date
Event
25th May 2007
ACCC commences review under Merger Review Process Guidelines
31st May 2007
ACCC requested further information from Force Corp Pty Ltd. ACCC timeline suspended
6th June 2007
ACCC received further information from Force Corp Pty Ltd. ACCC timeline recommenced
8th June 2007
Closing date for submissions from interested parties
29th June 2007
ACCC announced it would not oppose the proposed acquisition.
* Total Review days = Total business days less public holidays and time during which the review was Suspended.
