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


A & R Whitcoulls Cleared to Acquire Borders NZ

Reasons for A & R Whitcoulls Cleared to Acquire Borders New Zealand

The Commerce Commission has released its reasons for granting clearance to A & R Whitcoulls (ARW) to acquire 100 % of the shares in Borders New Zealand.
The Commission’s reasons for granting the clearance include:

  • ARW is likely to continue to face price competition from other existing book retailers, such as The Warehouse, Kmart, Paper Plus and Dymocks, and non-price competition from book retailers such as Dymocks and Unity. It is also likely that internet retailers will provide some degree of competition;
  • It is likely that these existing book retailers would be able to expand and exert additional constraint on ARW by sourcing more books through existing supplier relationships, and securing larger retail space;
  • New entry, in the form of retailers which currently have a network of bookshops is likely to act as a constraint on ARW. In addition, once established in a market, new entrants are unlikely to face barriers to expansion; and
  • ARW is a large purchaser of books from publishers, but this acquisition is unlikely to give ARW any undue market power as a buyer in the publishing market.

On 20 November 2007, the Commission granted clearance to ARW to acquire 100 % of the shares in Borders New Zealand as it was satisfied that the proposed acquisition will not have, or would not be likely to have, the effect of substantially lessening competition in the markets for the retail of books in the Auckland CBD, Albany, Wellington CBD, and Riccarton shopping precincts. The
Commission was also satisfied that there would not likely be a substantial lessening of competition in the market for the publishing/supply of books to retailers in New Zealand. The reasons are available on the Commission's website under Public Registers - Mergers and Acquisitions. Click on the Decision number in the right hand column.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Media Mega Merger: StuffMe Hearing Argues Over Moveable Feast

New Zealand's two largest news publishers are appealing against the Commerce Commission's rejection of the proposal to merge their operations. More>>


Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>


Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>


Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>