Queensland Sugar Limited - completed acquisition of a 9.75% interest in Tully Sugar Limited
Type of assessment
Informal Review
Reference
40650
Acquirer(s)
Queensland Sugar Limited
Target(s)
Tully Sugar Limited
Industry
Sugar
Summary
On 7 January 2010, Queensland Sugar Limited (Queensland Sugar) acquired a 9.75% interest in Tully Sugar Limited (Tully Sugar) (the acquisition).
Queensland Sugar provides marketing and logistics services for bulk raw sugar exports on behalf of seven milling companies who together account for approximately 95% of bulk raw sugar exports from Queensland. Queensland Sugar also undertakes the export marketing activities on behalf of over 90% of all Australian raw sugar exports. Tully Sugar's principal activity is the milling of sugar cane to produce raw sugar for export, from its mill in Tully, Queensland.
On 12 February 2010, the ACCC commenced a public review of the acquisition following reports in the media which suggested that the acquisition may be intended to hinder or prevent a pro-competitive acquisition by Maryborough Sugar Factory Limited (Maryborough Sugar). Maryborough Sugar announced on 19 April 2010 that it would not be able to proceed with its takeover offer for Tully and that the offer would lapse at the end of April 2010. Accordingly, on 21 April 2010, the ACCC terminated its review.
Outcome of assessment
No decision
Total review days *
45
Commenced public review
12th February 2010
Date completed
21st April 2010
Review timeline
Date
Event
7th January 2010
Queensland Sugar Limited acquired a 9.75% interest in Tully Sugar Limited.
12th February 2010
ACCC commenced a public review under the Merger Review Process Guidelines. Market inquiries commenced.
12th March 2010
Closing date for submissions from interested parties.
21st April 2010
Review terminated because Maryborough Sugar will not be proceeding with its takeover bid for Tully Sugar.
* Total Review days = Total business days less public holidays and time during which the review was suspended.
