Media Release
Issued 20 May 2019
Release No 145
Commission closes investigation into Bondor’s acquisition of the Long Group
The Commerce Commission has closed its investigation into Bondor New Zealand’s acquisition of the assets of Long
Holdings Limited, the Insulation Panel & Door Co Limited and Long Panel Limited (together, the Long Group).
On 25 February 2019, the Commission opened an investigation of the acquisition under section 47 of the Commerce Act. The
Commission was concerned that prior to the acquisition, Bondor and the Long Group were close competitors in the
manufacture and supply of EPS panels. EPS panels are panels with an expanded polystyrene core which are used in the
construction of controlled temperature industrial and commercial buildings.
Bondor had not sought clearance for the acquisition under the Commission’s merger regime.
The Commission considers the evidence it obtained during its investigation did not establish that the acquisition would
be likely to result in a substantial lessening of competition. Accordingly, the Commission has decided to close its
investigation and take no further action.
The reasons outlining the Commission’s decision will be published on our website shortly.
Background
Section 47 of the Commerce Act prohibits acquisitions that are likely to substantially lessen competition. The
Commission administers a voluntary regime that allows firms to apply for clearance if they consider their planned
acquisition could raise competition issues. If firms do not apply for clearance, the Commission can initiate an
investigation into a proposed or completed merger under Section 47. If a person breaches Section 47 they may be subject
to a penalty of up to $500,000 for an individual or $5 million for a firm.