The Commerce Commission has granted clearance for Preformed Line Products Company to acquire Electropar Limited.
The Commission considered the impact of the acquisition on the national market for the supply of conductor and insulator fittings.
Commerce Commission Chair Dr Mark Berry said the Commission was satisfied that the proposed acquisition will not have, or would not be likely to have, the effect of substantially lessening competition in the affected market.
The Commission considers the merged entity is likely to be constrained by a combination of existing competition from Dulhunty, the ease of expansion from other existing competitors (local distributors) that could source products from very large overseas manufacturers, and the countervailing power of Transpower and distribution network companies.
A public version of the written reasons for the decision will be available as soon as practicable on the Commission’s website at www.comcom.govt.nz/clearances-register