Posts Tagged ‘ACCC’

  • ACCC reviews $1.77bn Out-of-Home deals

    The corporate regulator is calling for submissions in its investigation of two recent consolidation deals that saw oOh!media sign a $570m agreement to acquire HT&E’s Adshel just a day before French giant JCDecaux agreed to pay $1.2 billion to buy APN Outdoor.

    Last year, the ACCC blocked a proposed $1.6bn merger between market leaders oOh!media and APN Outdoor.

     The ACCC is considering whether the two new mega deals that would transform the local outdoor advertising market are likely to have the effect of “substantially lessening competition in a market.”

     The commission is inviting comments from interested parties before submissions close on 17 July 2018.  The provisional date for an announcement of a final decision or the release of a Statement of Issues has been set for 30th August 2018.

    The ACCC’s investigation is focused on: how closely oOh!media and Adshel compete with each other in (i) supplying out-of-home advertising services, and (ii) leasing out-of-home advertising sites; and how closely JCDecaux and APO compete with each other in (i) supplying out-of- home advertising services, and (ii) leasing out-of-home advertising sites.

    Other issues include: whether the price of out-of-home advertising services would be likely to increase or the rents paid to out-of-home advertising site owners decrease as a result of the proposed acquisitions; how easy it would be for customers to switch to other suppliers of relevant out-of-home advertising services after the proposed acquisitions; and how easy it would be for out-of-home advertising site owners to switch to other out- of-home advertising suppliers after the proposed acquisition.

    Submissions must arrive no later than 5pm on 17 July 2018. Responses may be e-mailed to mergers@accc.gov.au with the title: Submission re: oOh!media Limited – proposed acquisition of Adshel – attention John Rouw / Karina Geddes, or to mergers@accc.gov.au with the title: Submission re: JCDecaux – proposed acquisition of APO – attention Karina Geddes/John Rouw.