The competition watchdog will allow TGP to acquire iiNet even though the two companies are among the largest suppliers of fixed broadband in Australia.
The Australian Competition and Consumer Commission found the existence of suppliers such as Telstra, Optus and Dodo will mean competition remains strong between broadband suppliers.
ACCC chairman Rod Sims said he acquisition of iiNet will not “substantially” lesson competition.
“While the ACCC was concerned that the acquisition of iiNet by TPG may lessen competition in the retail fixed broadband market, particularly in the short term, the ACCC concluded that this would not reach the threshold of a ‘substantial’ lessening of competition as required under section 50 of the Competition and Consumer Act,” Sims said.
“However, the ACCC has noted the growing consolidation in what will now become a relatively concentrated broadband market. Any future merger between two of the remaining four large suppliers of fixed broadband is likely to raise serious competition concerns.”
Blackmore wagyu farm decision to be reviewed
A regional Victorian wagyu beef farm is celebrating a decision by Victorian Planning Minister Richard Wynne to review a council decision that would have seen the farmer forced off his property because of neighbours’ complaints about noise and smells.
Wynne is the latest to come into bat for regional Victorian farmer David Blackmore after Murrindindi Council refused an application for the farm to increase production, with celebrity chef Neil Perry recently starting a petition to keep the farm operating.
He told Fairfax reviewing the council’s decision on the matter was “common sense” and the “right thing to do”.
The action means Blackmore will not need to appeal to decision at the Victorian Civil and Administrative Tribunal.
Shares down on open
Aussie shares are down this morning off the back of a poor showing from Wall Street.
Tristan K’Nell, head of trading at Quay Equities, said local energy shares have taken a beating because of crude oil prices continuing to slide.
“The Australian Share market [is] deep in the red to begin the session with market sentiment hit by a weak lead from Wall Street, [and] a mixed bag of local earnings,” K’Nell said.
“It was definitely not a day to be a commodity based stock, particularly [in] the resource and energy sector.”
The S&P/ASX200 benchmark was down 1.19%, falling 63.2 points to 5317 points at 12.02pm AEST. On Wednesday, the Dow Jones closed down 0.93%, falling 162.61 points to 17,348.73 points.