The Australian Competition and Consumer Commission (ACCC) will conduct market enquiries into Barro Group Pty Ltd’s and its related entities’ acquisition of its current interest in Adelaide Brighton (ASX:ABC).
The ACCC has stated that its investigation is focused on the impact on competition in relation to products and locations where Barro Group and Adelaide Brighton may compete with each other.
Since September 2018, Barro Group has held 43 per cent of Adelaide Brighton’s total shares on issue.
Adelaide Brighton has hit back saying that Barro Group’s stake in the company has been acquired over a 21 year period and it considers that the products and locations in which it and Barro Group do compete are limited, with the businesses having largely complementary geographic footprints.
Shares in Adelaide Brighton (ASX:ABC) are trading 1.98 per cent higher at $3.09.