Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Stagecoach Application To Acquire Tranz Metro

19 December 2001

Commerce Commission Declines Stagecoach Application To Acquire Tranz Metro (Wellington)

The Commerce Commission has declined New Zealand Bus Limited, commonly known in the Wellington region as Stagecoach, to be a 50% shareholder in a joint venture with Wellington Regional Council to acquire 100% of the assets of Tranz Metro (Wellington).

The Commission reached its decision to decline the application under section 68(2) of the Commerce Act. This section allows the Commission to decline to give a clearance where it considers that the acquisition is unlikely to proceed. In this case, the acquisition could not lawfully proceed.

Commission Acting Chair Paula Rebstock said the Transit New Zealand Act 1989 does not allow the Wellington Regional Council to make payment in respect of any passenger service and at the same time be an owner of a passenger transport company.

"The law as it currently stands prohibits the proposed joint venture company from acquiring the assets of Tranz Metro (Wellington)," said Ms Rebstock.

"This is not a situation where an Act has been passed but is not yet in force, or where there is a Bill before Parliament. Hence, not only is there an absence of certainty about the prospect of legislative change but the content of any such change is a matter of speculation.

"As this proposal cannot proceed under the current legislation, the Commission has declined to give a clearance." Background

The proposed joint venture sought to acquire the assets of Tranz Metro (Wellington).

New Zealand Bus is the 100% holding company for Wellington Transport Limited, Cityline (NZ) Limited and Transportation Auckland Corporation Limited, which companies operate the New Zealand bus businesses known as Stagecoach Wellington, Cityline Hutt Valley and Stagecoach Auckland.

New Zealand Bus is, in turn, a wholly owned subsidiary of Stagecoach Group plc in the United Kingdom.

Tranz Metro (Wellington) is 100% owned by Tranz Rail Limited.

Ends


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Climate Summary: NZ’s Equal-2nd Warmest Year On Record

Annual temperatures were above average (+0.51°C to +1.20°C above the annual average) across the majority of New Zealand... 2018 was the equal 2nd-warmest year on record for New Zealand, based on NIWA’s seven-station series which began in 1909. More>>

ALSO:

GDP: Economic Growth Dampens In The September Quarter

Gross domestic product (GDP) rose 0.3 percent in the September 2018 quarter, down from 1.0 percent in the previous quarter, Stats NZ said today... GDP per capita was flat in the September 2018 quarter, following an increase of 0.5 percent in the June 2018 quarter. More>>

ALSO:

Up $1.20: $17.70 Minimum Wage For 2019

Coalition Government signals how it will move toward its goal of a $20 p/h minimum wage by 2021... “Today we are announcing that the minimum wage will increase to $17.70 an hour on 1 April 2019." More>>

ALSO:

Retail: IKEA To Open In New Zealand

Inter IKEA Systems B.V. is today announcing its intentions to grant the Ingka Group exclusive rights to explore expansion opportunities in New Zealand. More>>