National Australia Bank Ltd (NAB) - proposed acquisition of Goldman Sachs JBWere Private Wealth Management
Type of assessment
Informal Review
Reference
38349
Acquirer(s)
National Australia Bank Ltd (NAB)
Target(s)
Goldman Sachs JBWere Private Wealth Management
Industry
Stockbroking, wealth management
Summary
National Australia Bank proposed to acquire 80.1% of Goldman Sachs JBWere Private Wealth Management.
Outcome of assessment
Not opposed
Total review days *
19
Commenced public review
6th August 2009
Date completed
1st September 2009
Market definition
The ACCC considered the competitive effects of the proposed acquisition in the context of the following national markets:
- the supply of full service (advisory) stockbroking services to retail customers;
- the supply of online (non-advisory) stockbroking services to retail customers; and
- financial planning and advisory services.
For the purposes of the competition analysis, the ACCC did not consider it necessary to form a definitive view regarding market definition.
Competition analysis
The ACCC considered that the proposed acquisition was unlikely to result in a substantial lessening of competition in the relevant markets. Factors informing this conclusion included:
- the absence of competitive overlap between the merger parties with regard to full service stockbroking services since NAB did not offer this service;
- the presence of a range of alternative non-advisory stockbrokerage service providers; and
- the large number of dealer groups and independent financial advisors that would remain unaligned and not under the influence of NAB.
Review timeline
Date
Event
6th August 2009
ACCC commenced review under the Merger Review Process Guidelines.
21st August 2009
Closing date for submissions from interested parties.
1st September 2009
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.
