Woolworths Limited - proposed acquisition of Skyview Bottleshop
Type of assessment
Informal Review
Reference
28734
Acquirer(s)
Woolworths Limited
Target(s)
Skyview Bottleshop
Industry
Liquor licence
Summary
Woolworths proposed to acquire an off-licence liquor retailer (including the liquor licence) trading as "Skyview Bottleshop" at 1 Beinda St, Bomaderry, NSW.
Outcome of assessment
Not opposed
Total review days *
12
Commenced public review
20th June 2007
Date completed
5th July 2007
Market definition
This proposed acquisition was assessed within the context of the following markets:
1. the market for the retail sale of packaged liquor for off-premises consumption. The geographic dimension of this market is a 3-5km radius surrounding the target business; and
2. the NSW market for the wholesale supply of packaged liquor for subsequent sale in the retail market for off-premises consumption.
Competition analysis
On 5 July 2007, the ACCC formed the view that the proposed acquisition was unlikely to result in a substantial lessening of competition in the relevant markets. Factors informing this conclusion included:
- In relation to the first market, the ACCC concluded that post-acquisition, Woolworths Limited will be constrained by competition from Coles and a number of independent bottle shops; and
- In relation to the second market, the ACCC considered that the acquisition of one retail store is unlikely to significantly increase Woolworths' market share (or buying power) or to substantially diminish the buying power of any competitor.
Review timeline
Date
Event
20th June 2007
ACCC commenced review under the Merger Review Process Guidelines.
29th June 2007
Closing date for submissions from interested parties.
5th July 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.
