Acquirer(s)
- Hongkong and Shanghai Banking Corp Ltd
Target(s)
- Westpac Banking Corporation and Westpac Custodian Nominees Ltd
Summary
The Hongkong and Shanghai Banking Corp Ltd (HSBC) acquired sub-custodial assets from Westpac Custodian Nominees (WCN) (HSBC's acquisition).Market definition
The ACCC considered HSBC's acquisition in the context of a national market for domestic custodial services, which includes sub-custodial services.Competition analysis
The ACCC considered that HSBC faced sufficient competitive constraints post-acquisition and that the acquisition is unlikely to have caused a substantial lessening of competition in the relevant market. This conclusion was informed by the following factors:- there are a number of substitutes available to customers for domestic custodial services in Australia;
- the acquisition resulted in a small change in market concentration levels in the national market for domestic custodial services; and
- customers for domestic custodial services possess countervailing power when negotiating the terms of a contract for the provision of domestic custodial services.
Timeline
| Date | Event |
|---|---|
ACCC commences review under the Merger Review Process Guidelines. |
|
Closing date for submissions from interested parties |
|
ACCC announced that it would not oppose the proposed acquisition. |