First East Auction Holdings Pty Ltd - proposed acquisition of Sotheby's Australia Pty Ltd
Type of assessment
Informal Review
Reference
38534
Acquirer(s)
First East Auction Holdings Pty Ltd
Target(s)
Sotheby's Australia Pty Ltd
Industry
Auction business
Summary
First East Auction Holdings (trading as Bonhams & Goodman) proposed to acquire the auction business and associated assets of Sotheby's Australia and to obtain a licence to use the Sotheby's trademark in Australia and New Zealand.
Outcome of assessment
Not opposed
Total review days *
14
Commenced public review
29th September 2009
Date completed
19th October 2009
Market definition
The ACCC considered the proposed acquisition in the context of a national market for the supply of services for the resale of fine art by auction.
However, for the purposes of the competition analysis, the ACCC did not consider it necessary to reach a definitive view in relation to market definition.
Competition analysis
The ACCC formed the view that the proposed acquisition was unlikely to result in a substantial lessening of competition in the relevant market. Factors informing this conclusion included:
- the merged entity would continue to be constrained by other major auction houses; and
- the market is characterised by a history of entry and exit by local and international players in response to market opportunities.
Review timeline
Date
Event
29th September 2009
ACCC commenced review under the Merger Process Guidelines.
9th October 2009
Closing date for submissions from interested parties.
19th October 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.
