The proposed AU$16 billion (US$11 billion) takeover of Carlton & United Breweries by Japanese beer giant Asahi looks in danger of going flat with the competition regulator raising concerns about the deal.
In its preliminary examination, the Australian Competition and Consumer Commission (ACCC) tilted towards the interests of drinkers in the transaction arguing it had the potential to dry up competition and raise prices, particularly for those who enjoyed a cider or two.
“The proposed acquisition would combine the two largest suppliers of cider in a highly concentrated market,” ACCC chair Rod Sims said.
“A combined Asahi-CUB would control the Somersby, Strongbow, Mercury and Bulmers cider brands, which account for about two-thirds of cider sales.”
Full Content: ABC
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
