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


ASX-listed InvoCare unit cleared to buy Chch crematoriums

Regulator clears ASX-listed InvoCare unit to buy Christchurch crematorium

By Suze Metherell

July 25 (BusinessDesk) - The Commerce Commission has cleared the way for ASX-listed InvoCare's Bledisloe New Zealand to buy the 70-year old Cremation Society of Canterbury adding two crematoriums to its New Zealand network.

The local arm of Australia's largest undertaker sought the regulator's approval to buy the company that owns Harewood Memorial Gardens & Crematorium and Woodlawn Memorial Gardens and Crematorium in Christchurch. The commission found that there would be no lessening of competition in the Canterbury funeral market, where Auckland-based Bledisloe already owns three Christchurch funeral parlours and a headstone maker but previously had no capacity to cremate bodies in the city.

"The merged firm will continue to face competition from a number of existing funeral directors and providers of cremation services in Christchurch as well as a large number of memorial marker suppliers around the country," commission chairman Mark Berry said in a statement. "We are therefore satisfied that there is unlikely to be a substantial lessening of competition in these markets."

InvoCare set up its New Zealand subsidiary in 2007 and bought Bledisloe in 2010 for an enterprise value of A$114 million. The group has been expanding its New Zealand holdings, acquiring four funeral parlours last year, bringing its total to 30 businesses across the country.

In 2013, the Australian company's New Zealand sales were A$32 million with earnings before interest, tax, depreciation and amortisation of A$6.2 million, and estimated a 1.9 percent decline in deaths during 2013, according to InvoCare’s annual report.

The Cremation Society was ultimately owned by Clenn Stapley, a Queensland-based accountant, the commission said.

InvoCare's shares rose 0.5 percent to A$$10.47 on the ASX yesterday, and have declined 5.2 percent this year.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Speaking For The Bees: Greens Call For Neonicotinoid Pesticide Ban

The National Government should ban the use of controversial pesticides called neonicotinoids after evidence has revealed that even at low doses they cause harm to bee populations, the Green Party said today. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news