The ACCC has not formed a view about whether the proposed undertaking can resolve the ACCC’s preliminary competition concerns. Feedback from public consultation will assist the ACCC to reach a final decision.From https://www.accc.gov.au/media-release/accc-consults-on-aurizon’s-proposed-one-rail-acquisition-and-divestiture
https://www.accc.gov.au/media-release/accc-consults-on-aurizon’s-proposed-one-rail-acquisition-and-divestiture
“We’re also considering the impact of this proposed acquisition on
potential future competition in the supply of non-coal bulk rail haulage,” Ms Cass-Gottlieb said.
So not only are they worried about monopoly on coal transport, they also see that AZJ almost has monopolies that can extend in to the future for other non-coal resources.
Sounds like AZJ is in a very good position to me.
"Aurizon has proposed a divestment undertaking that seeks to address the ACCC’s preliminary concerns. This undertaking proposes to divest One Rail’s east coast business, which includes its coal haulage operations in NSW and Queensland. The undertaking would allow Aurizon to sell the business either by a trade sale or demerging it as a new separate ASX-listed entity."
Ok so if that occurs the existing shareholders still own all of the old AZJ assets and also the new One Rail, as they will get shares in the new ASX-listed entity. Yes separate entities/company, but still the same base of shareholders? In other words AZJ don't get more monopoly but the shareholders do? Is this thinking silly?
"The ACCC has not formed a view about whether the proposed undertaking can resolve the ACCC’s preliminary competition concerns. Feedback from public consultation will assist the ACCC to reach a final decision." - ok so they are worried - but they want public feedback first - does public feedback mean lobbyists? Or does it mean submissions to ACCC from regular people? Or what.
"The ACCC invites submissions from interested parties in response to the statement of issues and undertaking consultation by 23 June 2022."
23rd June it is. Anything after that is *apparently * not going to be considered. So thats 2 weeks for public to come out. We have an absolute boat load of stuff going on at the moment around the world especially with dirty energy in Australia. Could it be AZJ has timed this to get as little push back as possible as others are already busy fighting the current upsurge in pro-coal and pro-gas sentiment?
(20min delay)