Fletcher Building Limited - proposed acquisition of Fielders Australia Pty Limited
Type of assessment
Informal Review
Reference
34458
Acquirer(s)
Fletcher Building Limited
Target(s)
Fielders Australia Pty Ltd
Industry
Building materials
Summary
Fletcher Building Limited proposes to acquire 100% of the shares in Fielders Australia Pty Limited.
Outcome of assessment
Not opposed
Total review days *
18
Commenced public review
7th October 2008
Date completed
30th October 2008
Market definition
The ACCC considered the proposed acquisition in the context of the national markets for:
- the supply of steel roll formed products; and
- the acquisition of steel coil for roll formed product manufacture.
Competition analysis
The ACCC formed the view that the proposed acquisition would be unlikely to substantially lessen competition in the relevant markets. Factors informing this conclusion included:
- the availability of existing alternative steel roll formed product suppliers;
- the existence of relatively low barriers to entry and expansion to steel roll formed product supply; and
- the ability of customers to credibly threaten to shift roll formed product supply to in-house operations, or to sponsor new entry or expansion.
The ACCC also concluded that the merged firm would be unlikely to be able to impose uncompetitive terms and conditions on steel coil suppliers.
Review timeline
Date
Event
7th October 2008
ACCC commenced review under the Merger Review Process Guidelines.
21st October 2008
Closing date for submissions from interested parties.
30th October 2008
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.
