ACCC drops Tabcorp-Tatts merger review | Finance News Network

ACCC drops Tabcorp-Tatts merger review

Company News

by Kathy Skantzos

The ACCC has decided it will not apply for judicial review of the Australian Competition Tribunal’s authorisation of the Tabcorp (ASX:TAH) and Tatts Group (ASX:TTS) combination.

The consumer watchdog said it has closely examined the Tribunal’s reasons and does not consider there is an error of law that needs to be corrected, and will not be seeking a further review.

Even though there are no legal grounds on which it can contest the decision, the competition authority still takes the view that the proposed merger of the two large competitors will lessen competition.

Tabcorp sought an informal ACCC merger clearance and a review of the proposed acquisition in November 2016, which was withdrawn by Tabcorp in March 2017 following lodgment of an Australian Competition Tribunal application, which was authorised on 22 November 2017.

Shares in Tabcorp (ASX:TAH) are trading 1.13 per cent higher to $4.91.