Acquirer(s)

  • Otis Elevator Company Pty Ltd

Target(s)

  • Independent Lifting Services Pty Ltd

Market definition

The ACCC considered the proposed acquisition in the context of the following markets:
- the provision of lift installation and modernisation services; and
- the provision of lift maintenance services.

The ACCC did not consider it necessary to form a definitive view in regard to the geographical dimension of the market, particularly in relation to whether the market concerned was a national or state-based market, as the proposed acquisition was unlikely to raise concerns regardless of the market definition applied.

Competition analysis

The ACCC formed the view that the proposed acquisition was unlikely to substantially lessen competition in the relevant markets. Factors informing this conclusion included:

- there were a number of alternative suppliers which would continue to compete with Otis in the provision of lift installation and modernisation services and the provision of lift maintenance services;

- the increase in Otis's market share as a result of the proposed acquisition would be minimal and ILS and Otis were not each other's closest competitors; and

- the barriers to entry were relatively low particularly for the supply of installation and maintenance services to small-medium sized buildings, where ILS activities were principally focussed.

Timeline

Date Event

ACCC commenced review under the Merger Review Process Guidelines.

Closing date for submissions from interested parties.

ACCC announced it would not oppose the proposed acquisition.