ACCC sets date for decision on Elders' acquisition of Delta Agribusiness
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The news: The Australian Competition and Consumer Commission (ACCC) has updated its timeline for a decision on the proposed acquisition by Elders of rival Delta Agribusiness, after outlining concerns with the takeover in May.
The context: Elders said a provisional date of 9 October has now been set for the ACCC's decision. Elders and Delta are both continuing to engage with the regulator to address its outstanding concerns, the company noted.
Elders agreed to buy Delta for $475 million last November, with completion initially expected to occur in the first half of 2025.
However, the ACCC flagged that the acquisition may substantially lessen competition in the retail supply of rural merchandise in Victoria, Western Australia and South Australia.
In August, the regulator said it required further time to consider the proposed buyout.
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
