ACCC blocks GUD Holdings' acquisition of Breville

The ACCC has announced it will oppose the proposed acquisition of Breville Group (ASX:BRG) by GUD holdings, supplier of the Sunbeam brand.

“The ACCC’s investigation found that the proposed acquisition would likely lead to a substantial lessening of competition in relation to the wholesale supply of a number of categories of small electrical appliances,” ACCC chairman Graeme Samuel said.

Between them, GUD Holdings and Breville are by far the largest players in small appliances, holding over 90% market share, he added.

“Market inquiries indicated that they are each others’ closest competitors, and impose the strongest [pricing] constraints on each other.”

FUS Holdings also applies the Emoji brand, while Breville supplies the Breville, Kambrook, Ronson and Philips product ranges.