Mergers

Seven West, Prime Media deal not opposed

The ACCC will not oppose Seven West Media’s (ASX: SWM) proposed acquisition of Prime Media Group (ASX: PRT).

Seven West Media, a national media company with commercial television, publishing, radio and digital operations, is proposing to acquire Prime, its main regional television broadcasting affiliate. The ACCC notes recent media speculation that Prime’s shareholders may not vote in favour of the deal at their vote scheduled for Thursday 19 December.

Concerns about Cengage McGraw-Hill educational publishing deal

The ACCC has raised preliminary competition concerns about the merger of United States-based publishers Cengage Learning and McGraw-Hill Education.

Cengage and McGraw-Hill are global publishers of educational resources, and are both significant players in the publishing of Australian higher education resources, in particular.

“This proposed deal involves the merger of two of the four biggest publishers in higher education worldwide,” ACCC Commissioner Stephen Ridgeway said.

Proposed Asahi-CUB deal raises cider, beer market concerns

The ACCC has preliminary competition concerns about Asahi Group Holdings Ltd’s (Asahi) proposed acquisition of Carlton & United Breweries (CUB).

The ACCC has formed a preliminary view that the proposed acquisition will reduce competition in the market for cider and may also reduce competition in the beer market.  

“The proposed acquisition would combine the two largest suppliers of cider in a highly concentrated market,” ACCC Chair Rod Sims said.

GFP purchase of Tasmanian forestry assets not opposed

The ACCC will not oppose the proposed acquisition of the Tasmanian forestry assets of funds managed by Resource Management Service LLC (RMS) by funds advised by Global Forest Partners LP (GFP).

Both GFP and funds managed by New Forests bid for the RMS assets. On 26 September 2019 the ACCC raised preliminary concerns with both parties’ bids.

“Our strongest concerns related to New Forests bid, particularly the impact on competition for hardwood logs from private growers in north-western Tasmania,” ACCC Commissioner Stephen Ridgeway said.

ANZ Terminals, GrainCorp deal not opposed with divestments

The ACCC has decided that it will not oppose ANZ Terminals Pty Ltd’s proposed acquisition of GrainCorp Bulk Liquid Terminals (ASX:GNC).

The ACCC’s review focused on competition for the supply of port-side bulk liquid storage services in South Australia, Victoria and New South Wales, where ANZ Terminals and GrainCorp both provide storage of base oils, chemicals and edible oils/fats.

Concerns about Assa Abloy fire doors deal

The ACCC has preliminary concerns that Assa Abloy’s proposed acquisition of E Plus Building Products Pty Ltd would significantly reduce competition in the market for fire door cores.

Assa Abloy, through its subsidiary Pyropanel, and E Plus both supply fire door cores to licensed fire door manufacturers throughout Australia.

“Our preliminary view is that the proposed acquisition raises significant competition concerns in what is an already highly concentrated market,” ACCC Commissioner Stephen Ridgeway said.

Emergent Cold and Oxford cold storage deal not opposed

The ACCC will not oppose the proposed acquisition of the Oxford cold storage business by Emergent Cold.

Emergent Cold and Oxford are two significant suppliers of third party cold storage services in Victoria. Emergent Cold operates cold storage facilities around Australia and overseas, including five sites in Victoria. Oxford only operates in Victoria, where it has a site in Laverton North.

Viva Energy’s proposed acquisition of Liberty Oil’s wholesale business not opposed

The ACCC won’t oppose the proposed acquisition of the remaining 50 per cent interest in Liberty Oil Holdings Pty Ltd’s (Liberty) wholesale business by Viva Energy Australia Pty Ltd (Viva), a wholly owned entity of Viva Energy Group Limited (ASX: VEA).

Viva and Liberty are both wholesalers and retailers of fuel products. The proposed acquisition involves Liberty’s wholesale business only. Viva’s interest in Liberty’s retail business will remain at 50 per cent.

Concerns about sale of RMS Tasmanian forestry assets

The ACCC has raised preliminary competition concerns about the proposed sale of the Tasmanian forestry assets of Resource Management Service LLC (RMS).

RMS is selling its hardwood plantations and a one-third share in a woodchip marketing and export business in Tasmania by competitive tender.

The ACCC has been reviewing two prospective buyers of the RMS assets: a fund managed by New Forests Asset Management (New Forests) and a fund advised by Global Forest Partners LP (GFP).