SINGAPORE - The Competition and Consumer Commission of Singapore (CCCS) in a provisional decision has found the proposed acquisition by Norway's Wilhelmsen Maritime Services AS (WMS) of US rival Drew Marine's technical solutions, fire, safety and rescue businesses (DTMS) to be anti-competitive.
CCCS said in a media statement on Friday (May 25) that WMS's sole control over DMTS is likely to result in a substantial lessening of competition in the market for the supply of marine water treatment chemicals in Singapore, thereby infringing section 54 of the Competition Act which prohibits anti-competitive mergers.
It said WMS and DMTS overlap in the supply of marine chemicals (marine cleaning chemicals, marine water treatment chemicals and marine fuel oil treatment chemicals), marine gases (marine welding gases and marine refrigerant gases) and marine welding equipment.
The companies now have 10 working days from the receipt of CCCS' provisional decision statement to make their representations to the watchdog. CCCS will then decide whether to issue a favourable or unfavourable decision, after consideration of their representations, available information and evidence.
The firms may also offer commitments to address the potential competition concerns at any time before CCCS issues its decision at the end of its Phase 2 review.