Vets Central's proposed acquisition of 100 per cent of the business assets of Hills Veterinary Centre could substantially lessen competition and requires an in-depth Phase 2 assessment, the ACCC has decided. The Vets Central group of companies notified the acquisition via the subsidiary VC Operations (WA) Pty Ltd.
Vets Central and Hills Veterinary Centre both supply small animal, general practice veterinary services during standard hours in the Blackwood area in South Australia, 12 km south of the Adelaide CBD. Vets Central serves the area via its clinic Familypet Vet Coromandel Valley, which is located approximately 3 km south-west of Hills Veterinary Centre.
"We consider the acquisition could substantially lessen competition in the supply of small animal, general practice veterinary services during standard hours in the local Blackwood area," ACCC Commissioner Dr Philip Williams said.
"The acquisition would combine Vets Central's clinic Familypet Vet Coromandel Valley with one of its closest competitors in the area. The information before the ACCC indicates that there is significant overlap in the customer catchment areas for these two clinics and that other clinics located north of Hills Veterinary Centre may not effectively constrain them."
The ACCC is also considering whether this proposed acquisition and previous acquisitions which Vets Central has put into effect over the past three years could have the combined effect of substantially lessening competition. Specifically, Vets Central acquired Chandlers Hill Vet in July 2023, which is one of the two closest clinics located south of Familypet Vet Coromandel Valley, approximately 6 km away.
The ACCC has not reached a conclusion on the issues and will continue to consider the acquisition in Phase 2.
