The Commerce Commission has granted clearance for New Zealand Post Limited (NZ Post) to acquire PBT Group Limited’s (PBT) courier customer contracts.

In reaching its decision, the Commission focused on the potential impact of the proposed acquisition on competition in the supply of intercity economy courier services.

The Commission had expressed initial concerns that the proposed acquisition would remove a disruptive competitor for intercity economy courier services. However, after further investigation, Chair Dr John Small said the Commission was satisfied that the acquisition is unlikely to substantially lessen competition in any New Zealand market.

Central to the Commission’s decision was its assessment of the competitiveness of PBT absent the proposed acquisition.

“Our investigation indicated that, absent the proposed acquisition, it is unlikely that PBT would likely provide a significant disruptive influence on the supply of intercity economy courier services,” Dr Small said.

“Post acquisition, customers requiring intercity economy courier services would have options for courier providers such as Freightways, Aramex and Team Global Express, in addition to NZ Post, and the loss of PBT is unlikely to have a material impact on the price and/or the quality of intercity economy courier services,” Dr Small said. 

A public version of the written reasons for the decision will be available on the Commission’s case register in due course.