The Australian Competition and Consumer Commission (ACCC) has approved Heidelberg Materials Australia Holdings Pty Ltd's acquisition of Maas Group Holdings' construction materials business, but with specific conditions aimed at preserving competition.

Heidelberg and Maas both provide a variety of construction materials, including ready-mix concrete and aggregates. The ACCC's Phase 1 assessment focused on potential competition reduction in overlapping locations, particularly in New South Wales and Queensland.

Concerns were raised that the acquisition could substantially lessen competition in the supply of ready-mix concrete in the Illawarra region and Blackwater, as well as coarse aggregates in Biloela. To mitigate these concerns, the ACCC mandated that Heidelberg divest three concrete plants and a quarry.

In Blackwater, the merger would eliminate the only two suppliers of ready-mix concrete, while in the Illawarra, it would combine major suppliers, leaving few alternatives for customers. The Biloela region would see a reduction in competing quarry operators.

Heidelberg's proposed divestitures include plants in Blackwater, North Wollongong, and Bass Point, along with a quarry in Biloela, which the ACCC believes will maintain an independent competitor in the affected markets.

This decision marks the ACCC's first Phase 1 approval with conditions since the new merger control regime began on January 1, 2026. The ACCC also evaluated the acquisition's impact on other markets and found no substantial competition concerns beyond those addressed by the divestment conditions.