ACCC extends review of Elders' $475m acquisition of Delta Agribusiness
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The news: The Australian Competition and Consumer Commission (ACCC) has said it requires further time to consider Elders' proposed acquisition of rival Delta Agribusiness, after outlining concerns with the takeover in May.
The numbers: Elders agreed to buy Delta for $475 million in November, with completion initially expected to occur in the first half of 2025.
The context: Elders said it has been engaging constructively with Delta and the ACCC to address the regulator's outstanding competition concerns.
The ACCC previously said the acquisition may substantially lessen competition in the retail supply of rural merchandise in Victoria, Western Australia and South Australia.
Elders noted that the ACCC has indicated that it needs more time to consider additional information provided by both companies, and will update its timeline in due course.
What they said: "Elders remains confident that the transaction will bring benefits to local agricultural markets through the expansion of price-competitive private label options, increased technical expertise and greater product and service offerings for farmers," the company said in an ASX release this morning.
The source: ASX
