The Commerce Commission has published a statement of preliminary issues relating to an application from Menzies Aviation (New Zealand) Limited seeking clearance to acquire 100% of the shares of Skystar Airport Services NZ Pty Limited.

Menzies and Skystar both provide ground handling services at airports in New Zealand.

The statement of preliminary issues outlines the key competition issues that the Commission currently considers will be important in deciding whether or not to grant clearance. The Commission’s statement of preliminary issues and the public version of the application are on the Commission’s Clearances Register.

The Commission invites submissions from parties who consider that they have information relevant to the Commission’s consideration of this matter. Submissions can be sent to registrar@comcom.govt.nz with the reference Menzies/Skystar in the subject line of your email or to PO Box 2351, Wellington 6140 by 4pm on Tuesday 24 September 2013.

Background

Menzies is part of the Menzies Aviation Group, which provides ground handling, cargo handling, and cargo forwarding services in 30 countries throughout the world. In New Zealand, Menzies provides ground handling services (either itself, or through a subcontract with Planebiz Limited) to Virgin Australia, Singapore Airlines and Emirates at Christchurch Airport, and to Virgin Australia at Dunedin Airport. Menzies is ultimately owned by Menzies Aviation Plc and John Menzies Plc (both registered in the United Kingdom).

Skystar forms part of the Monadelphous group of companies, which provides ground handling services at eight airports in Australia and New Zealand. In New Zealand, Skystar provides ground handling services for narrow bodied commercial aircraft operated by Jetstar at Christchurch and Dunedin Airports.