Target(s)
- Recipes+ magazine of Knockout Media Pty Ltd
Summary
ACP Magazines Limited proposed to acquire the 'Recipes+' magazine from Knockout Media Pty Ltd.Market definition
The ACCC considered it unnecessary to form a definitive view regarding the relevant market definition. However, the ACCC considered the proposed acquisition in the context of markets for:- the supply of advertising space to advertisers in food focused magazines; and
- the supply of food focused magazines to consumers.
Competition analysis
The ACCC concluded that the proposed acquisition was unlikely to substantially lessen competition irrespective of the market definition adopted. Factors informing this decision included:- ACP's food focused magazines are not the closest competitors of 'Recipes+';
- other strong competitors will remain in the market;
- other publishers that publish magazines that are not food focused but contain some food content may have the ability to adapt their content with relative ease to allow new entry and constrain any anti-competitive effects; and
- key characteristics of easily coordinated markets are absent as the product offerings are differentiated, and the companies have asymmetrical market shares and cost structures.
Timeline
| Date | Event |
|---|---|
| 02/03/2010 | ACCC commenced review under the Merger Review Process Guidelines. |
| 16/03/2010 | Closing date for submissions from interested parties. |
| 24/03/2010 | Former proposed date for announcement of ACCC's findings, of 25 March 2010, amended to allow the ACCC to conduct further inquiries. |
| 01/04/2010 | Former proposed date for announcement of ACCC's findings, of 8 April 2010, amended to allow for response to further market inquiries. |
| 13/04/2010 | ACCC announced it would not oppose the proposed acquisition. |