Sunbeam parent company GUD Holdings could have ended up with 60 per cent of the Australian small appliances market, according to analysts.
“GUD Holdings and Breville Group are by far the two largest players in small appliances overall. Between them they account for the majority of sales of many product categories and for some products they have a dominant sales share in excess of 90 per cent,” said ACCC Chairman Graeme Samuel.
“Market inquiries indicated that they are each other’s closest competitors, and impose the strongest constraint on each other in relation to the wholesale supply of small electrical appliance products. If GUD Holdings was to acquire Breville Group, there would be a reduction in this competitive tension that could result in higher prices for consumers as well as a reduction in the head-to-head competition between these two companies on product range, promotions and innovation,” he said.
GUD Holdings currently supplies Sunbeam and Emjoi appliances, while Breville’s portfolio consists of Breville, Kambrook, Philips and Ronson.