Luxottica Retail Australia Pty Ltd - proposed acquisition of 16 optical dispensing stores from Merringtons Pty Ltd

Acquirer(s)

  • Luxottica Retail Australia Pty Ltd

Target(s)

  • Merringtons Pty Ltd

Market definition

Local markets for the retail supply of optical dispensing services and the wholesale supply of prescription frames in Australia were considered.

Competition analysis

On 8 May 2007, the ACCC formed the view that the proposed acquisition is unlikely to substantially lessen competition. Factors informing this conclusion include:
- the availability of independent optical dispensing stores for consumers in nearly all of the local areas relevant to the proposed acquisition;
- the relatively low barriers to entry and expansion in terms of sunk costs and the availability of retail space in strips or shopping centres; and
- the ability of independent stores to purchase supplies from non-Luxottica wholesalers and buying groups.

Timeline

DateEvent
04/04/2007ACCC commenced review under the Merger Review Process Guidelines. Market inquiries commenced
18/04/2007Closing date for submissions from interested parties.
08/05/2007ACCC announced it would not oppose the proposed acquisition