[SINGAPORE] The Competition and Consumer Commission of Singapore is inviting public feedback on BreadTalk Group's proposed acquisition of Food Junction Management for S$80 million.
Section 54 of the Act prohibits mergers that have resulted, or may be expected to result, in a substantial lessening of competition within any market in Singapore.sentifi.comThey involve the sale of drinks, fruits, snacks, desserts and hot meals to consumers in food court premises, as well as the rental of stalls to food vendors.
Topwin said that the barriers to entry and expansion are low, as"it is not unduly restrictive or onerous for food vendors and food court operators to obtain the necessary operating licenses from the Government". Topwin also submits that the merged entity"faces strong countervailing constraints by landlords, who may choose not to renew the master lessor if the rental rates imposed on food vendor tenants are too high, which translates to fewer food vendors and consequently lower foot traffic to the landlords' premises".
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