Australian Competition Agency Nixes Heinz’s Acquisition Of Baby Food Maker Rafferty’s

The Australian Competition and Consumer Commission has put the kibosh on the planned acquisition of Rafferty’s, a manufacturer of organic wet and dry baby foods, citing a potential dampening of competition in the sector. The ACCC said the acquisition would have accounted for 80 percent of wet infant food in the country, and 70 percent of infant cereal and snacks. This would have probably reduced “the frequency and depth of promotional activity, increase prices and reduce innovation in the wet and dry infant food markets," ACCC Chairman Rod Sims said. Heinz said it was considering other options and may appeal the ruling.