The Australian Competition and Consumer Commission (ACCC) announced on Tuesday it would not oppose the proposed acquisition of Bartter by Baiada Poultry, after competition concerns were resolved by Baiada’s undertaking to sell certain Victorian assets to competitor La Ionica Poultry.

Earlier this year, the ACCC had opposed the acquisition because it was believed it would substantially lessen competition in the market for the wholesale supply of processed chicken.

To address the ACCC’s competition concerns, Baiada offered a court-enforceable undertaking to divest all asset currently owned by Bartter in Victoria to La Ionica Poultry.

The assets include Bartter’s Geelong processing plant, associated breeding farms and hatcheries and a North Melbourne feed mill.

The ACCC has accepted the undertaking on the basis that the sale of Bartter’s Victorian assets would result in a significant expansion of La Ionica Poultry’s current chicken processing capabilities.

A spokesperson for Baiada Poultry yesterday said the company would not be commenting on the matter until the acquisition date was finalised.

Baiada Poultry’s principal breeding operations are in Tamworth and Gunnedah, as well as the Barossa region in South Australia, throughout Victoria and Sydney.

In November, it commenced operations of a new hatchery on Country Rd, with the capacity to hold 1.3 million day-old chicks a week.

The facility employs 50 local people.

Baiada also owns and operates a feedmill and processing plant in Tamworth.

It is uncertain what, if any, impact the proposed acquisition of Bartter will have on local

operations.