Acquirer: OneSteel Reinforcing Pty Ltd; Target: Marner Steel and Mesh

Acquirer(s)

  • OneSteel Reinforcing Pty Ltd

Target(s)

  • Marner Steel and Mesh

Summary

OneSteel Reinforcing Pty Ltd located in Adelaide proposes to acquire Marner Steel and Mesh also based in Adelaide.

Market definition

The South Australian market for steel reinforcing bar and mesh

Competition analysis

Following market inquiries with competitors and customers, the Commission considered that the proposed acquisition would be unlikely to result in a substantial lessening of competition because:
OneSteel intends to maintain the Marner operations and service its present customer base;
Two other producers, Smorgon ARC and Bianco, are capable of competing actively with the merged entity; and
Recent entry by Bianco and price discounting suggest the market will remain both contestable and competitive.

Merger type

Horizontal

Guidelines thresholds

Crossed

Imports above 10%

Unknown

Initiation

Parties

ANZSIC code

2741