Media Releases

Commerce Commission clears Beijer to acquire Realcold

7 October 2015

The Commission has given clearance for B100 Limited, a newly incorporated subsidiary of the Swedish refrigeration group Beijer Ref AB, to acquire the business and assets of Realcold Limited.

Beijer Ref AB recently entered the New Zealand market through its acquisition of Patton Limited (Patton). Realcold and Patton overlap in a number of the wholesale supply of refrigeration equipment, refrigerants, refrigeration components, air conditioning units and air conditioning components. Both businesses have branches across the country.

The Commission’s consideration of the merger focussed on the competitive effects of the merger in the supply of refrigeration components and refrigerants in regional areas, given the time critical nature of refrigeration repairs.

Commission Chairman Dr Mark Berry said, “The Commission is satisfied that the merger will not have, or would not be likely to have, the effect of substantially lessening competition in the affected markets.”

“In our investigation we found that Patton and Realcold were major suppliers of refrigerants and refrigeration components. However, strong competition would continue across all these markets, including regional areas, from Heatcraft, Refrigeration Specialists and from other competitors who compete in specific markets such as refrigerants,” said Dr Berry.

A public version of the written reasons for the decision will be available shortly on the Clearances Register.