Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
These stocks are up over 10% post earnings. Did you spot the buying opportunity? Our AI did.Read how

U.S.-based Iron Mountain to sell Australian assets for acquisition - regulator

Published 2016-03-09, 09:13 p/m
U.S.-based Iron Mountain to sell Australian assets for acquisition - regulator

SYDNEY, March 10 (Reuters) - U.S. data management company
Iron Mountain (NYSE:IRM) Inc IRM.N will sell its Australian unit to ease
regulatory concerns hampering its A$2.7 billion ($2 billion)
buyout of Sydney-listed rival Recall Holdings Ltd REC.AX , a
regulator said.
The Australian Competition and Consumer Commission (ACCC)
said on Thursday that Boston-based Iron Mountain offered to make
a court-enforcable promise to sell its existing Australian
operations, which extend to all eight states and territories.
The ACCC added that it would invite feedback on the proposal
for two weeks and decide whether to accept it by the end of this
month.
The offering from Iron Mountain demonstrates the muscle
being exerted by the ACCC as it adjudicates a host of mega-deals
from offshore spurred by declines in the Australian dollar and
the sharemarket over the past year.
In October, it warned that Halliburton (NYSE:HAL) Co's HAL.N proposed
$35 billion buyout of rival Baker Hughes Inc BHI.N may result
in price fixing locally, and it has forced Canada's Brookfield
Asset Management Inc BAMa.TO to pare its $6.4 billion takeover
of port and rail giant Asciano ltd AIO.AX for similar reasons.
In November, the regulator indicated that it may block Iron
Mountain's move on Recall, warning that it would give one
company 71 percent marketshare and leave customers "vulnerable
to price increases or reduced service levels".
Recall shares rose 1.6 percent to A$7.15 in mid-session
trading on Thursday, while the broader market was flat. But the
shares are below Iron Mountain's A$8.50 offer amid concerns the
deal may not progress.
($1 = 1.3390 Australian dollars)

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.