Tuakau Proteins Limited given clearance for acquisition

Tuakau Proteins Limited given clearance to acquire rendering assets of Graeme Lowe Protein Limited

Issued 8 October 2014

The Commerce Commission has granted clearance to Tuakau Proteins Limited to acquire the Tuakau rendering and trucking businesses and the Hawera rendering plant and equipment owned by Graeme Lowe Protein Limited (Lowe).

The Commission considered the competition effects of the transactions in markets for both the supply of toll rendering and the collection and purchase of poultry, beef and mixed species raw material, mainly in the lower North Island. It also considered the effects on the supply of rendered outputs in New Zealand.

The Commission is satisfied that the acquisitions will not have, or would not be likely to have, the effect of substantially lessening competition in the affected markets.

“We found that processors in the catchment areas of the Hawera and Tuakau plants will have alternative options available to them if the proposed acquisitions occur,” said Commerce Commission Chairman Dr Mark Berry.

“And the merger is unlikely to result in a reduction in the quantity of renderable material produced,” added Dr Berry.

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