Press Release – Commerce Commission
The Commerce Commission has received an application from Reckitt Benckiser Group Plc (Reckitt Benckiser) seeking clearance to acquire the K-Y brand and product assets of Johnson & Johnson.Reckitt Benckiser seeks clearance to acquire certain assets of Johnson & Johnson
Issued 19 May 2014
Release No. 106
The Commerce Commission has received an application from Reckitt Benckiser Group Plc (Reckitt Benckiser) seeking clearance to acquire the K-Y brand and product assets of Johnson & Johnson.
Reckitt Benckiser is a global consumer goods company which manufactures and sells a range of health, hygiene, home food and pharmaceutical products. Relevant to its application for clearance, Reckitt Benckiser’s products include the Durex range of personal lubricants.
Johnson & Johnson is a global medical devices, pharmaceutical and consumer goods company. It produces consumer goods under 48 brands, including the K-Y brand of personal lubricants.
A public version of the application will be available shortly on our Clearances Register.
Assessing an application for a merger or acquisition
When considering a proposed merger (or joint venture), the Commission must decide whether the competition that is lost in a market when two businesses merge is substantial. We will give clearance to a proposed merger only if we are satisfied that the merger is unlikely to have the effect of substantially lessening competition in a market.
A fact sheet explaining how the Commission assesses a merger application is available on the Commission’s website at www.comcom.govt.nz/merger-assessment