The ACCC will not oppose the proposed acquisition of OfficeMax Australia (OfficeMax) by Complete Office Supplies (COS).
COS and OfficeMax both supply office products to commercial and government customers in Australia.
The ACCC focussed on the supply of traditional office products, particularly stationery, to large commercial and government customers.
“The ACCC found that a combined COS-OfficeMax would continue to face competition from Winc (formerly Staples), and to a lesser extent from Lyreco. Post-acquisition, Winc will remain the market leader by some margin,” ACCC Chairman Rod Sims said.
“Few customers expressed concerns about the proposed acquisition and some suggested that an enlarged COS may be able to compete better with Winc.”
The ACCC is also reviewing Platinum Equity’s proposal to acquire OfficeMax in Australia. Platinum Equity owns Winc. The ACCC released a Statement of Issues in relation to that proposal in August, and the review is continuing.
“If there are competing proposals to buy a company, the ACCC reviews the proposals independently of each other. A decision on Platinum Equity’s bid for OfficeMax is currently due in late November,” Mr Sims said.
Background
The ACCC commenced a review of the proposed acquisition on 20 July 2017.
The ACCC is also reviewing the proposed acquisition of OfficeMax by Platinum Equity, which owns Winc.
COS is a privately owned company that operates Australia-wide, with staff, offices and warehouses in every state and territory in Australia.
OfficeMax is a wholly-owned subsidiary of Office Depot Inc. Office Depot Inc. is a North American focused stationery company headquartered in Florida, USA and listed on the NASDAQ Stock Exchange.