Canada Competition Bureau Tender

To protect competition and innovation the Competition Bureau is challenging Thoma Bravos recent acquisition of Aucerna a company that offers reserves valuation and reporting software to Canadian oil and gas producers.On June 14 2019 the Bureau filed an application with the Competition Tribunal for an order requiring Thoma Bravo to sell one of its reserves software products MOSAIC or Val Nav.Thoma Bravo now owns the two largest oil and gas reserves software businesses in Canada Quorum and Aucerna who were previously one anothers closest rivals. That rivalry incented these businesses to regularly enhance MOSAIC and Val Nav.Following its investigation the Bureau found that the transaction is a merger to monopoly in the supply of reserves software in Canada to medium and large producers. The Bureau concluded that the transaction is likely to substantially lessen competition resulting in higher prices and lower quality of service for customers in Canada. Given that prior to the acquisition MOSAIC and Val Nav were each others only effective competitors the loss in competition between them is also likely to significantly reduce innovation and product quality of reserves software in Canada.The Bureaus application is available on the Competition Tribunals website.QuotesTaking action in this matter is necessary to prevent monopoly control over the supply of oil reserves software in Canada. Oil and gas resources are a key driver of the Canadian economy. The Bureau will always seek to protect competition and innovation in this sector. - Matthew Boswell Commissioner of Competition