Statement Of Preliminary Issues Released For Fletcher/Tumu ITM Application

The Commerce Commission has published a statement of preliminary issues relating to an application from Fletcher Distribution Limited (FDL) seeking clearance to acquire the six ITM stores, and a frame and truss manufacturing plant, from Tumu Merchants Limited (Tumu).

The ITM stores are located in Gisborne, Napier, Hastings, Havelock North, Dannevirke and Masterton and the manufacturing plant is located in Hastings.

The statement outlines the key competition issues that the Commission considers important in deciding whether or not to grant clearance to the proposed acquisition.

The Commission invites interested parties to provide comments on the likely competitive effects of the proposed acquisition. Submissions can be sent by email to registrar@comcom.govt.nz with the reference "FDL/Tumu” in the subject line. Any submissions should be received by close of business on 22 April 2022.

The Commission is currently scheduled to make a decision on the application by 19 May 2022. However, this date may be extended as the investigation progresses.

The Statement of Preliminary Issues and a public version of the application can be found on the Commission’s case register.

Background
We will give clearance to a proposed merger if we are satisfied that the merger is unlikely to have the effect of substantially lessening competition in a market.

Further information explaining how the Commission assesses a merger application is available on our website.

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