James Pascoe Limited - proposed acquisition of Angus & Coote (Holdings) Limited

Acquirer(s)

  • James Pascoe Limited

Target(s)

  • Angus & Coote (Holdings) Limited

Summary

James Pascoe Ltd proposes to acquire all of the issued shares in Angus & Coote (Holdings) Ltd.

Market definition

The ACCC considered the impact of the proposed acquisition on narrow local markets for the sale of jewellery and watches by retail chain stores and multiple outlet jewellers.

Competition analysis

The ACCC formed the view that the proposed acquisition was unlikely to result in a substantial lessening of competition in any relevant market.

In making its decision, the ACCC noted that the merged entity would continue to face competition from other jewellery retail chains and multiple outlet jewellers such as Michael Hill and Zamel's (which also owns the Mazzucchelli and Vivien's brands), and to a lesser extent, independent jewellers (many of which are members of jewellery buying groups) and a range of other retailers selling jewellery and watches. The ACCC also took into account barriers to entry, which appeared to be low to moderate depending on the size and type of new entry or expansion, given the financial costs involved and the potential significance of brand recognition.

Accordingly, the ACCC decided not to oppose the proposed acquisition.

Timeline

DateEvent
30/11/2006ACCC commenced review under the Merger Review Process Guidelines.
04/12/2006Market inquiries commenced.
20/12/2006Closing date for submissions from interested parties.
16/01/2007ACCC decided not to oppose the proposed acquisition.