Commerce Commission grants clearance to baby products merger

Commerce Commission grants clearance to baby products merger
Issued 29 January 2015

Release No. 69

The Commerce Commission has granted clearance to Mayborn Group Limited to acquire certain assets from Jackel Pty Limited, including intellectual property rights to the Tommee Tippee brands and trademarks for New Zealand.

The focus of the Commission’s investigation was on the competition effects of the merger in the wholesale supply of premium baby feeding products. This was the main area of overlap between Mayborn and Jackel, where Mayborn’s Closer to Nature brand competed with Tommee Tippee Miomee brand.

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

“We consider that the merged firm would face competition from a number of existing competitors who could easily expand,” said Commerce Commission Chair Dr Mark Berry. “We also found that retailers would have alternative options available to them besides the brands sold by Mayborn.”

A public version of the written reasons for the decision will be available shortly on the Clearances Register.

Background

Mayborn is a UK-based manufacturer and distributor of baby and toddler feeding accessories. In New Zealand, Mayborn’s main brand of baby and toddler feeding accessories, Closer to Nature, is distributed by Newborn Brands (NZ) Limited.

Jackel is an Australian-based, privately-owned distributor of baby and toddler feeding accessories. In New Zealand, Jackel supplies baby and toddler feeding accessories under the Tommee Tippee and Happy Baby brands.

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