Last year, Tabcorp announced they were working to acquire the Tatts Group Limited, but the megamerger was delayed due to issues involving objections by other domestic operators. The Australian Competition Tribunal had originally delayed their decision as to if the merger could move forward earlier this year and by late June, had decided that the acquisition could move forward.
The green-light was given by the ACT just a few weeks ago with tribunal president and Federal Court judge John Middleton stipulating that Tabcorp must divest their Odyssey Gaming Services.
Now the merger faces another issue. The Australian Competition and Consumer Commission, otherwise known as the ACCC, is in opposition to the merger and has decided to seek a judicial review of the recent ruling by the ACT to approve the merger of Tabcorp and Tatts. The ACCC alleges that in the ACT decision, three reviewable errors were made.
Despite this potential setback, Tabcorp remains confident that the merger will continue. Yesterday, Tabcorp mentioned in a filing to the ASX that they will oppose the application by the ACCC and will be pursuing an expedited hearing.