Acquirer(s)

  • Alcoa Inc

Target(s)

  • Kaal Australia Pty Ltd

Summary

Alcoa Inc is proposing a joint venture buy-out that will involve Alcoa increasing its stake in Kaal Australia from 50% to 100% by acquiring Kobe Steel's 50% stake.

Market definition

The Commission did not consider the issue of market definition to be decisive because under any definition there was unlikely to be a substantial lessening of competition. However, the following markets were considered:
- the market for aluminium can stock;
- the market for aluminium foil sheet; and
- the market for aluminium general sheet.

Competition analysis

The Commission considered it unlikely that the proposed acquisition would substantially lessen competition in any markets. The Commission took into consideration the fact that the acquisition will not remove a market participant, as neither Alcoa Inc nor Kobe Steel market or sell Kaal Australia's aluminium products independently.

Merger type

Shareholding

Guidelines thresholds

Crossed

Imports above 10%

Unknown

Initiation

Parties

ANZSIC code

2731