Feb 28, 2008. /Lesprom.com/. The Australian Competition and Consumer Commission (ACCC) has ruled against a merger between wood-products companies Carter Holt Harvey and Sumitomo Forestry. ACCC chairman Graeme Samuel says the merger was rejected because it would decrease competition in the MDF market.
ACCC vetoes merger between MDF companies Carter Holt Harvey and Sumitomo Forestry
Feb 28, 2008. /Lesprom.com/. The Australian Competition and Consumer Commission (ACCC) has ruled against a merger between wood-products companies Carter Holt Harvey and Sumitomo Forestry, ABC News reported.
Both companies are major suppliers of raw medium density fibreboard (MDF) which is used in flooring, joinery and cupboards. ACCC chairman Graeme Samuel says the merger was rejected because it would decrease competition in the MDF market.
"The only competitive tension that would be left in the context of the manufacture and supply of MDF would in fact be Laminex," he said. "But it has its own, what I call, vertically integrated operation which we think is going to very severely constrain its ability."
Carter Holt Harvey is Australasia's forest products company, with significant interests in wood products, pulp, paper and packaging.
Sumitomo Forestry activity is the forestry, import/purchase, processing, manufacturing and sale of timber, lumber, pulpwood, wood chips and value-added building materials. The operations are carried out through the following divisions: timber and building materials; housing and building.
