3 February 2016
Commission clears Rheem to acquire Peter Cocks
The Commerce Commission has given clearance for Rheem New Zealand Limited to acquire the business and assets of Peter
Cocks (2010) Limited.
Both Rheem and Peter Cocks are involved in the manufacture and supply of hot water heaters to plumbing and building
merchants.
The Commission’s consideration of the competitive effects of the acquisition focussed on the wholesale supply of mains
pressure cylinders and low pressure cylinders.
Chairman Dr Mark Berry said the Commission is satisfied that the acquisition will not have, or would not be likely to
have, the effect of substantially lessening competition in the affected markets.
“For mains pressure cylinders, we found that the merged entity would face competition from gas continuous flow units,
other existing suppliers of mains pressure water heaters, such as Rinnai, and expansion by potential competitors,” said
Dr Berry.
“Similarly, for low pressure cylinders we consider that Rheem would face competition from existing suppliers and that
there was scope for smaller suppliers to expand in a timely manner.”
A public version of the written reasons for the decision will be available shortly on the Clearances Register.
ends