The Australian Competition and Consumer Commission has accepted a court enforceable undertaking in relation to Nordic Capital Fund VII’s proposal to gain control of Max-Inf Holdings Limited.
The purpose of the undertaking is to ensure that Nordic, with its downstream interests in Australia via Britax, does not adversely impact competition in the market for the wholesale supply of child car restraints in Australia.
Max-Inf is a Chinese manufacturer of child restraint systems, and supplies Infa-Secure Pty Ltd’s child restraint systems. Infa-Secure is one of the three main wholesalers of these products in Australia. Britax, which is ultimately owned by Nordic, is a close competitor of Infa-Secure.
The ACCC considered that without the undertaking, Nordic and Max-Inf would be likely to have the ability and incentive to foreclose Infa-Secure from accessing supply of child restraint systems.
“The undertaking aims to preserve competition in the market for wholesale supply of child restraint systems in Australia,” ACCC Chairman Rod Sims said.
“As a result of the undertaking, the ACCC is satisfied that the proposed acquisition would be unlikely to substantially lessen competition. Max-Inf has an obligation to continue to supply Infa-Secure with child restraint systems for a limited period while it establishes suitable alternative supply arrangements.”