The Endeavour Group Ltd (ASX: EDV) share price is down today amid reports the Australian Competition & Consumer Commission (ACCC) is keeping a close eye on the company’s acquisitions.
The competition watchdog is reportedly monitoring the liquor, hotel, and gambling giant’s plans to grow its portfolio of hotels.
Right now, the Endeavour share price is $6.45, 0.46% lower than its previous closing price.
Let’s take a closer look at today’s news on Endeavor.
ACCC eyes Endeavour
The Endeavour share price has slipped today while reports swirl the watchdog is making note of the company’s growth.
According to reporting by the Australian Financial Review (AFR), the company is aiming to grow through acquisitions of hotels and bottle shops.
However, the ACCC is keeping an eye on such acquisitions due to Endeavour’s existing hold on the market.
Jarden analyst Ben Gilbert told the publication he estimates Endeavour has ownership of around 40% of Australia’s retail liquor market.
The company operates nearly 250 Dan Murphy stores, close to 1,400 BWS stores, and more than 330 licensed venues. It also owns a range of business-to-business and online liquor stores.
According to the AFR, gambling reform advocate Stephen Mayne wrote to the ACCC with concerns over Endeavour’s acquisition of Terrey Hills Tavern in Sydney’s north.
The ACCC reportedly replied to Mayne, saying it’s keeping an eye on Endeavour’s acquisitions in the liquor market.
The publication also stated the ACCC is in discussions with Endeavour over concerns of the company’s impact on competition.
Endeavour share price snapshot
After experiencing a slow start to its time on the ASX, the Endeavour share price has recovered and is now tracking upwards.
Endeavour shares are now trading for 7% more than when they listed on 24 June.
The company has a market capitalisation of around $11.6 billion, with approximately 1.7 billion shares outstanding.