Toll Holdings Limited - s.87B undertaking

Company or individual details

  • Toll Holdings Limited
    006 592 089

Undertaking

On  29 June 2015, the ACCC decided to accept a Section 87B undertaking (the undertaking) from Toll Holdings Limited (Toll) in relation to the proposed acquisition by Sea Swift Pty Ltd (Sea Swift) of certain assets of Toll Marine Logistics Australia (Toll Marine business, a business unit of Toll) (the proposed acquisition). 

On 11 June 2015, the ACCC was due to announce its decision in relation to an earlier form of the proposed acquisition. However, Sea Swift and Toll requested that the ACCC delay its decision in order to make submissions about changes to the transaction and a new proposed undertaking. 

In order to provide certainty to the affected communities, the ACCC requested that Toll provide an undertaking to the ACCC that it will not cease providing marine freight services in the Northern Territory and Far North Queensland before 30 November 2015 unless the matter is resolved sooner. The undertaking formalises the commitments Toll provided to the ACCC on 11 June. 

The objective of the undertaking is to place the following obligations on Toll while the proposed acquisition is being considered by the ACCC or the Australian Competition Tribunal:

  1. to maintain the Toll Marine business, including maintaining the supply of services by the Toll Marine business in a manner consistent with the supply of those services as at 11 June 2015, until 30 November 2015 unless the matter is resolved earlier or in other agreed circumstances
  2. to prohibit Toll from entering into an agreement which provides that any of the marine freight services provided by the Toll Marine business as at 11 June 2015 will be provided by Sea Swift, except in limited circumstances where Toll is unable to meet ad hoc or short term customer service requirements itself.

Variations