Plans by US logistics giant Iron Mountain to buy Australian data management firm Recall Holdings has hit a snag, with the competition watchdog raising concerns.
Australian Competition and Consumer Commission chairman Rod Sims says the watchdog's preliminary view is that the deal would raise competition concerns in a number of markets for the supply of physical document management services.
Recall and Iron Mountain are the two largest providers of physical document management services in Australia, and if they merged they would have a combined national market share of between 59 and 71 per cent.
Recall said Iron Mountain was working closely with the ACCC to address the issues raised and is committed to making any divestments required to obtain the approval in Australia, without any monetary cap.
Its shares were 30 cents lower at $7.28 at 1025 AEDT.
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