• ACCC will not oppose Cuscal's proposed acquisition of Indue
• Acquisition unlikely to substantially lessen competition in payment facilitation services
• Consolidation among smaller banks has reduced the number of customers Cuscal and Indue compete for

The ACCC has announced that it will not oppose Cuscal Limited's (ASX:CCL) proposed acquisition of payment facilitation supplier Indue Limited. The ACCC's review focused on how closely Cuscal and Indue compete in the supply of payment facilitation services, particularly to small and mutual bank customers and financial technology companies (fintechs). Payment facilitation services allow organisations, such as small banks and fintechs, to offer payment solutions to other businesses or consumers, such as eftpos and debit card processing. The ACCC found that while Cuscal and Indue are two of the larger payment facilitation service providers, there remains a range of other suppliers available to customers across the various payment schemes. The ACCC also noted that consolidation among smaller banks has reduced the number of customers Cuscal and Indue compete for, and that achieving greater scale can assist suppliers in making the necessary investments to keep up with advancements in technology, and customer and regulatory requirements. Many of the customers most likely to be impacted by the proposed acquisition were in favour of the transaction progressing, as they considered that it will deliver efficiencies and support continued investment in products and innovation.