Husqvarna Japan Limited - proposed acquisition of Zenoah Company Limited

Acquirer(s)

  • Husqvarna Japan limited

Target(s)

  • Komatsu Zenoah Co.

Summary

Husqvarna Japan Limited proposes to acquire all of Komatsu Zenoah Company's equity interests in Zenoah Company Limited

Market definition

The proposed acquisition was considered in the context of separate national markets for the wholesale supply of: chainsaws; trimmers and brush-cutters; hedge trimmers; hand-held blowers and backpack blowers.

Competition analysis

On 27 March 2007, the ACCC formed the view that the proposed acquisition was unlikely to result in a substantial lessening of competition in the relevant markets. Factors informing this conclusion included:

- the increase in the merged firm's market shares for each of the relevant products would be relatively small; and
- there would remain a number of alternative suppliers for each of the relevant products to which customers could turn.

Timeline

DateEvent
28/02/2007ACCC commenced review under the Merger Review Process Guidelines.
15/03/2007Closing date for submissions from interested parties
27/03/2007ACCC announced it would not oppose the proposed acquisition