The Commerce Commission has decided to issue a Statement of Issues for the application from Foodstuffs North Island Limited and Foodstuffs South Island Limited seeking clearance to merge.
The Statement of Issues will be published on the Commission’s case register in due course, and will outline the Commission’s potential competition issues with the proposed merger following its initial investigation. The Statement of Issues will invite submissions from Foodstuffs North Island, Foodstuffs South Island and other interested parties.
A Statement of Issues is not a final decision and does not mean that the Commission intends to decline or clear the application for clearance.
The Commission was originally scheduled to make a decision by 4 April 2024, however an extension of time has been agreed between the Commission, Foodstuffs North Island and Foodstuffs South Island. The new decision date is 31 May 2024.
Background
Foodstuffs North Island and Foodstuffs South Island currently operate as separate co-operatives that focus on serving the island in which they are located. With the proposed merger, Foodstuffs North Island and Foodstuffs South Island would merge to become a single national grocery entity.
We will give clearance to a proposed merger if we are satisfied that the merger is unlikely to have the effect of substantially lessening competition in a market.
