Woolworths Limited proposed to acquire the takeaway packaged liquor licence, goodwill, intellectual property and plant and equipment associated with the Northshore Liquor retail liquor outlet, located in Cammeray NSW.
Outcome of assessment
Not opposed
Total review days *
7
Commenced public review
21st November 2008
Date completed
1st December 2008
Market definition
The proposed acquisition was considered in the context of two markets:
1. The local market for the retail sale of liquor for off-premises consumption, with a geographic dimension of 3-5km surrounding the target liquor outlet. (Market 1)
2. A NSW market for the wholesale supply of packaged liquor for subsequent sale in the retail market for off-premises consumption. (Market 2)
Competition analysis
On 1 December 2008 the ACCC formed the view that the proposed acquisition would be unlikely to substantially lessen competition in the relevant markets. Factors informing this conclusion were:
Market 1
After conducting market inquiries, the ACCC considered that Woolworths would likely continue to be constrained by a significant number of other retail liquor outlets in the relevant market.
Market 2
After conducting market inquiries, the ACCC considered that the proposed acquisition would not significantly increase Woolworths' buying power or substantially weaken any competing wholesale purchaser by diminishing its buying power in the relevant market.
Review timeline
Date
Event
21st November 2008
ACCC commenced review under the Merger Review Process Guidelines.
28th November 2008
Closing date for submissions from interested parties.
1st December 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.
