Beyond borders: when the star and post collide

The ACCC pointed out that there would be an obvious overlap in competition between Fairfax and Rural Press publications. Fairfax’s The Newcastle and Lake Macquarie Post will clash with the circulation of Rural Press’ The Newcastle and Lake Macquarie Star and in the Lower Hunter Valley region, where the circulation area of Fairfax’s The Hunter Post overlaps with two Rural Press newspapers, The Lower Hunter Star and The Lower Hunter Weekend Star.

To address these circulation concerns, Fairfax has offered the ACCC an undertaking to divest The Newcastle and Lake Macquarie Post and The Hunter Post following the merger. This undertaking is currently being considered by the ACCC and is subject to further discussions. The ACCC is expected to consult the market in relation to the undertaking and will make a final decision on the merger when it has concluded its consultations.

Fairfax Media issued a public statement saying that it does not believe that the proposed divestment of The Newcastle and Lake Macquarie Post and The Hunter Post will be financially material to Fairfax and is confident that the proposed undertaking will address the ACCC’s competition concerns regarding the merger.

Got a view on this story? Drop us a line and let us know