The ACCC is not opposing the proposed acquisition of OfficeMax Australia by Complete Office Supplies, as the consumer watchdog says it will continue to face competition from other companies.

Officemax is currently the subject of two competing bids, with US Platinum Equity also in the frame. The ACCC has yet to give the go-ahead on this bid, which is more problematic as Platinum Equity owns Winc – formerly known as Staples – the biggest player in the market. The ACC’s decision is due before the end of the month.

Officemax is a wholly owned subsidiary of US company Office Depot, it has 11 stores across Australia, offering stationery supplies along with print and print management in each location. Winc is the larger force with 32 stores across Australia and New Zealand, each with a print department.

[Related: Platinum Equity acquires OfficeMax]

Rod Sims, chairman for the ACCC says, “The ACCC found that a combined COS-OfficeMax would continue to face competition from Winc (formerly Staples), and to a lesser extent from Lyreco. Post-acquisition, Winc will remain the market leader by some margin. Few customers expressed concerns about the proposed acquisition and some suggested that an enlarged COS may be able to compete better with Winc.”

Both companies supply office products to commercial and government customers, but the ACCC has a focus on the supply of products such as stationery to large clients. 

Complete Office Supplies is a privately owned company that operates Australia wide. 

In August, the ACCC released a Statement of Issues in relation to Platinum Equity’s proposal. 

Sims says, “If there are competing proposals to buy a company, the ACCC reviews the proposals independently of each other. A decision on Platinum Equity’s bid for OfficeMax is currently due in late November.”

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