The Commerce Commission has cleared Flint Group Holdings S.A.R.L. (Flint Holdings) to acquire, directly or indirectly, up to 100% of the assets of the business of Siegwerk New Zealand Limited (Siegwerk).

Commerce Commission Chair Paula Rebstock said that the Commission was satisfied that the proposed acquisition will not have, or would not be likely to have, the effect of substantially lessening competition in any of the relevant markets.

Flint Holdings is a subsidiary of a multi-national company headquartered in Luxembourg. Flint Holdings' business comprises the manufacture, importation, blending, and distribution of packaging inks and packaging ink consumables.

Siegwerk is a subsidiary of Siegwerk Group International, a multi-national company headquartered in Germany. Siegwerk is involved in the importation, blending, and distribution of packaging inks and packaging ink consumables.

Background

End uses for packaging ink and ancillary products include printing on flexible packaging, cardboard, labels, and cans. The largest packaging ink suppliers in New Zealand are Flint Holdings and DIC New Zealand Limited. Siegwerk is a minor player. The majority of packaging ink and ancillary products distributed within New Zealand is imported as opposed to manufactured domestically. The supply of packaging ink and ancillary products in New Zealand is worth an estimated NZ$70 million per annum.

Public versions of the written reasons for the decision will be available as soon as practicable on the Commission's website, www.comcom.govt.nz under the Clearances Register.