The ACCC will not intervene in the recent and proposed acquisitions by S8 Limited in the travel industry, ACCC chairman Graeme Samuel says.
S8 acquired Harvey World Travel in late 2005 and recently acquired Transonic Travel, Travelscene and Gullivers Travel Group.
“The ACCC considers that the recent and proposed acquisitions are unlikely to substantially lessen competition in markets for the provision of travel retail services, travel wholesale services, for example tour packages and ticket consolidation services in Australia,” Samuel says.
He adds that the ACCC formed the view the market is not heavily concentrated, barriers to entry are not high and there is evidence of new entrants.
“In addition customers have strong countervailing power, and online retailers compete vigorously with shop front travel retailers. As a result, consumers are unlikely to face higher prices.”
