Categories: Market

“Competitively problematic”: Weko dives deeper into Post and Quickmail merger

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The Competition Commission is examining a possible merger between the Post and Quickmail Group. (archive image)

According to Comco’s assessment, the acquisition of Quickmail Group, which needs restructuring, would be problematic in terms of competition. However, this may still be permissible if adverse effects arise independently of the acquisition.

Quickmail will probably disappear from the market without support. As a result, a large portion of customers would switch to the post office anyway. It was also said that there was no more competitive alternative to the merger.

The postal service announced the planned acquisition of Quickmail in July, justifying it with the company’s financial health. Due to the continuing decline in letter volumes and intense competition in the parcel market, Quickmail and its two subsidiaries, Quickpac and Quickmail, can no longer exist independently.

(SDA)

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