ACCC Drops Tabcorp-Tatts Review
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The $11 billion Tabcorp-Tatts merger will go to a shareholders meeting in less than two week’s time with the chances of a second regulatory challenge now gone after the ACCC said Friday morning that it would not ask for another judicial review of the approval by the Australian Competition Tribunal.
In the statement, ACCC Chairman Rod Sims said.
“The ACCC has closely examined the Tribunal’s reasons. Unlike the original decision of the Tribunal we do not consider there is any error of law that needs to be corrected. For this reason the ACCC will not be seeking further review.”
“While the ACCC takes a different view from the Tribunal on the extent of the public benefits and detriments arising from the proposed merger, there is no avenue of appeal that would test the merits of the Tribunal’s decision.”
“The ACCC takes the view that the proposed merger of these two large and close competitors will lessen competition, but because they chose to apply to the Tribunal, the ACCC never reached a conclusion as to whether or not the lessening would amount to a substantial lessening of competition,” Mr Sims said.
Tattersalls last week postponed its shareholder meeting to consider the scheme of arrangement merger with Tabcorp until December 12 because of uncertainty about the ACCC’s position. The meeting will be held in Brisbane.
Glenn Dyer has been a finance journalist and TV producer for more than 40 years. He has worked at Maxwell Newton Publications, Queensland Newspapers, AAP, The Australian Financial Review, The Nine Network and Crikey.
At the AFR he was a finance writer, Finance Editor, News Editor and Chief of Staff. At the Nine Network he was supervising producer of Business Sunday for more than 16 years. He has also written for other online and analogue print publications here and overseas.