A decision laid down by the Australian Competition and Consumer Commission’s (ACCC) to pause the timeline for its consideration of the deal could further delay DP World Australia’s acquisition of Silk Logistics.
With an announcement of findings originally set for June 5 2025, the ACCC has pushed back the timeline indefinitely, seeking further information from the merger parties.
DP World Australia initially announced its intention to acquire 100 per cent of the issued share capital of Silk Logistics Holdings Limited in November 2024, but potential competition concerns that could arise from the acquisition were immediately flagged by the ACCC.
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The change came after the ACCC raised fears the proposed acquisition would allow DP World Australia to own a “national container transport provider” and reduce competition in the supply of container transport services, thus potentially leading to higher prices.
In the aftermath of the ACCC citing preliminary competition concerns over the takeover, the Scheme Meeting originally scheduled to occur on March 31 was pushed back to June 20.
The initial timeline would have seen the acquisition completed by March 28, 2025.
Despite the ACCC’s delay, it is not expected to impact the existing timeline of the Scheme Meeting.
“Silk acknowledges the decision made by the ACCC on 8 April 2025 to pause the timeline for its consideration of the matters raised in the SOI pending the receipt of further information from DP World Australia and Silk,” a Silk company statement reads.
“The ACCC has not provided a revised final decision date.
“The parties are working closely with the ACCC to provide the required information.
“At this stage, the Scheme Meeting remains schedule for Friday, 20 June at 10:00am (Sydney time) … Silk will consider the impact of the ACCC’s process on the Scheme timetable and provide a further update to the market once a revised final decision date has been provided by the ACCC.
“Silk and DP World Australia remain committed to the transaction and will continue to work together to progress ACCC and FIRB approval and all other regulatory steps required for the implementation of the Scheme.”
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