The Australian Competition and Consumer Commission* will not oppose the acquisition of the Australian Battery Company Pty Ltd by GNB Battery Technologies Ltd, ACCC Chairman, Professor Allan Fels, announced today.
"The ACCC conducted market inquiries and founds that the relevant market was for replacement automotive batteries," Professor Fels said. A total of 72 per cent of batteries sold in Australia are manufactured by Australian-based companies, with the remaining 28 per cent imported largely by companies based in Australia.
"Post-acquisition, GNB's market share would be 53 per cent."
Professor Fels said that the competition from imports was significant and the barriers to entry into the market, through imports, was low.
"As a result, the ACCC decided that the acquisition of ABC by GNB was unlikely to substantially lessen competition and it would not oppose the move."
"The ACCC conducted market inquiries and founds that the relevant market was for replacement automotive batteries," Professor Fels said. A total of 72 per cent of batteries sold in Australia are manufactured by Australian-based companies, with the remaining 28 per cent imported largely by companies based in Australia.
"Post-acquisition, GNB's market share would be 53 per cent."
Professor Fels said that the competition from imports was significant and the barriers to entry into the market, through imports, was low.
"As a result, the ACCC decided that the acquisition of ABC by GNB was unlikely to substantially lessen competition and it would not oppose the move."