US-based international freight company FedEx has applied to the New Zealand Commerce Commission for clearance to acquire all the shares in TNT Express N.V, a Netherlands-based international delivery company.
The proposed acquisition relates to the parties’ activities in the supply of international freight and parcel delivery services.
In New Zealand, FedEx provides freight, and small package international delivery services from depots in Auckland, Wellington and Christchurch.
FedEx operates its own weekly international cargo flight to and from Auckland airport and also offers an integrated supply chain management service.
TNT provides inbound and outbound international delivery services for a range of goods, and also has depots in Wellington, Christchurch and Auckland.
TNT utilises commercial airlines to transport its goods and operates a ground-based collection and delivery fleet.
A public version of the application will be available on the Clearances Register.
When considering a proposed merger or acquisition, the Commission says it must determine whether the competition that would be lost with the merger would be substantial.
“We will give clearance to a proposed merger only if we are satisfied that the merger is unlikely to have the effect of substantially lessening competition in a market,” says the Commerce Commission.
