The ACCC has raised concerns over automotive retailer AP Eagers(ASX:APE) potentially taking over Automotive Holdings Group (AHG) (ASX:AHG).
The ACCC says, “a combined AP Eagers and AHG would operate 46 per cent of new car dealership sites in the Newcastle/Hunter Valley region, including those for the ten most popular brands.
“In metropolitan Newcastle alone, the combined company would operate 77 per cent of dealership sites selling the ten most popular brands.”
Earlier this month AHG’s (ASX:AHG) board recommended shareholders accept the fourth revised takeover offer from AP Eagers (ASX:APE) for 1 APE share for every 3.6 AHG shares.
Shares in AP Eagers (ASX:APE) are trading 2.86 per cent lower at $9.84
AHG’s (ASX:AHG) shares are trading 2.90 per cent lower at $2.68