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

 

Other Windy Cities: Auckland-Chicago Named A Top 10 ‘Most Exciting’ New Route

The inclusion of Auckland-Chicago on Lonely Planet’s Where to fly in 2019? The 10 most exciting new flight routes list comes just two weeks before Air New Zealand prepares to celebrate its inaugural flight to Chicago’s O’Hare International Airport on 30 November. More>>

Deadly Strain: ESR Ups Its Reporting On Meningococcal Disease

The increasing number of cases of Group W Meningococcal disease (MenW) has prompted ESR to increase its reporting on the disease to the Ministry of Health. ESR has upped its reporting to weekly. More>>

ALSO:

Very Small Things: "Game-Changing" 3D Printing Technology Launched

New Zealand microfabrication researchers Andrea Bubendorfer and Andrew Best, the co-inventors of a new way of fabricating very small things with Laminated Resin Printing (LRP), are part of Callaghan Innovation’s MicroMaker3D team launching the new patent pending technology in the US this week. More>>

ALSO:

Wainui: Major Infrastructure Partnership For North Auckland

Minister of Housing and Urban Development Phil Twyford and Auckland Mayor Phil Goff today announced a partnership that will fund $91 million of roading and wastewater infrastructure to support the building of 9000 homes... More>>

ALSO: