The Australian Competition and Consumer Commission will not oppose Solution 6's proposed acquisition of Ceedata, ACCC Chairman, Professor Allan Fels, said today.
Solution 6 and Ceedata are major suppliers of software to the accountancy profession, particularly to the larger accounting practices. Solution 6 and Ceedata also supply general accounting and business applications software. Ceedata currently supplies software under the Xlon brand name.
"The ACCC has conducted extensive market inquiries, speaking to many accounting practices as well as competitors of the merging parties", Professor Fels said.
"The ACCC found that although the merged entity would enjoy a significant market share, especially amongst the larger accounting practices, barriers to entry are not insurmountable and that the new business would come under an increasing competitive challenge from other expanding software suppliers.
"On this basis, the ACCC concluded that the proposed acquisition was unlikely to result in a substantial lessening in competition".