The Commerce Commission said that Kiwi Co-operative Dairies Limited today withdrew its application for authorisation to acquire South Island Dairy Co-operative Limited.
The Commission's Commerce Act Manager, Geoff Thorn, said that with Kiwi's withdrawl the Commission's consideration of this case will cease.
The Commission will not hold the conference planned for next week, nor will it issue a final decision.
Kiwi applied for authorisation on March 1. On March 30 the Commission issued a draft determination stating that, on information currently available, it would authorise the acquisition. The conference was to have been held on May 5-6, with the Commission making a final decision by May 26.
The Commerce Act prohibits business acquisitions that result in dominance being acquired or strengthened in any market. However, an otherwise prohibited acquisition can be authorised if the Commission is satisfied that public benefits from the proposal outweigh the detriments from loss of competition.
