The battle between two of the biggest players in New Zealand’s carpet industry is showing no signs of abating, after a high court appeal was lodged on Wednesday.
The country’s largest carpet manufacturer, Godfrey Hirst, is chall
enging the commerce commission’s decision to allow Cavalier Wool holdings takeover of Wool Serivices International.
The decision effectively created a monopoly scouring market, which the commission said was acceptable, because it would result in “considerable cost savings”.
Godfrey Hirst’s appeal, however, describes the rationale behind the ruling as “seriously flawed”, and released a statement to the NZ Stock Exchange detailing the court action.
Wool Services International is 63% owned by Plum Duff Ltd and Woolpak Holdings, which are currently under receivership.
