OK for Mace retailers to attend Costcutter show

The Costcutter/P&H deal is under OGT scrutiny

Costcutter has been given permission by the OFT to invite Mace retailers to its annual exhibition.

The OFT is investigating the tie-up by Costcutter and P&H, agreed in April. The two have agreed to operate both Costcutter and Mace completely separately until the OFT’s investigation has completed.

However, the OFT has now agreed an amendment to the Initial Undertakings agreed by the two companies so Mace retailers can be invited to Costcutter’s event in September.

“The OFT grants its consent on the condition that members of the Mace symbol group are informed of the ongoing OFT review, which requires the Mace business to be held separate from the Costcutter business for the duration of the review,” the OFT said.

The OFT has until 23 August to decide on the merger. In April, when the OFT said it would review the deal, Costcutter CEO Darcy Willson-Rymer said: “The impact on market competition was part of our considerations and we are confident the OFT, and should it prove necessary, the Competition Commission, will agree with our position.”