Summary
Linfox Armaguard Pty Ltd (Armaguard) and Prosegur Australia Holdings Pty Limited (Prosegur) sought merger authorisation to combine their cash distribution and management, device monitoring and maintenance and ATM businesses in Australia (the Proposed Transaction).
Armaguard and Prosegur both offer cash-in-transit (CIT) services, including cash storage, transport and processing in Australia. CIT services are predominantly provided to banks and both large and small retailers.
Armaguard and Prosegur also supply other services including operating ATM networks, ATM device monitoring and maintenance services and valuable cargo transport services.
On 21 December 2022, the Australian Competition and Consumer Commission (ACCC) released a Statement of Preliminary Views, available below under ‘Consultations’. This document provided a summary of issues raised during the market inquiries consultation process and outlined the ACCC’s preliminary views about the Proposed Transaction and issues about which it sought further information.
On 9 March 2023, the Applicants provided their submission in response to the ACCC’s Statement of Preliminary Views, which includes a proposed court enforceable undertaking to the ACCC (the Proposed Undertaking).
On 1 May 2023, the Applicants provided a revised version of the Proposed Undertaking to the ACCC (the Revised Proposed Undertaking).
On 21 May 2023, the Applicants provided their submission responding to market feedback on the Revised Proposed Undertaking, as well as a further revised undertaking to the ACCC (the Further Revised Proposed Undertaking).
The ACCC usually has 90 days from the date that the application was lodged to make its decision, although it can extend the timeframe if the Applicants agree. The Applicants have agreed to a further extension to the timeframe for the ACCC to make a decision, until 14 June 2023, to allow the ACCC sufficient time to complete its assessment.
On 13 June 2023, the ACCC granted authorisation subject to the condition that the Applicants give, and comply with, an undertaking (in the form at Attachment A to the ACCC’s determination) to the ACCC under section 87B of the Act (the Undertaking). The authorisation is effective for a period of 12 months until 13 June 2024.
The full reasons for the ACCC’s determination is available below under ‘Decisions’ and a fully executed copy of the Undertaking is available below under ‘Other’ and on the ACCC’s s 87B Undertakings register.
Applicant(s)
- Linfox Armaguard Pty Ltd
- Prosegur Australia Holding Pty Ltd
Target(s)
- N/A