Australia's Aurizon slips after regulator raises early concerns on proposed deal

Aurizon Holdings

09/06/2022 06:10

**  Shares of the rail freight operator Aurizon Holdings 
 AZJ.AX  slip as much as 2% to A$4.11
    ** Australia's competition watchdog initiates consults on
Aurizon's proposed One Rail acquisition and divestiture
 urn:newsml:reuters.com:*:nASM000EWE
    ** "We have preliminary concerns that the proposed
acquisition of One Rail by Aurizon would be likely to
substantially lessen competition," - ACCC Chair Gina
Cass-Gottlieb said
    ** "Also considering the impact of this proposed acquisition
on potential future competition in the supply of non-coal bulk
rail haulage," Cass-Gottlieb adds 
    ** Volumes in fiscal 2022 have been hurt by wet weather and
other issues - analysts at Morningstar wrote in  a note  
    ** "But we forecast a solid recovery to drive earnings
higher in the medium term"
    ** Stock has risen ~20% this year as of last close
    

 (Reporting by Indranil Sarkar in Bengaluru)
 ((Indranil.Sarkar@thomsonreuters.com;))