The ACCC will not oppose Woolworths’ proposed acquisition of online retailer MyDeal.

Woolworths announced in May plans to buy an 80 per cent stake of MyDeal, offering an all-cash consideration of $1.05 per share.

The total value of the deal is $242.6 million, thereby valuing the entire company at $271.8 million.

Sean Senvirtne, the founder and CEO of MyDeal, and other “key management personnel” will retain a significant minority shareholding and will continue to lead the business.

Although both Woolworths, through its Big W stores, and MyDeal, “sell a variety of general merchandise products to consumers including furniture, health and beauty products, homewares and electronics”, the ACCC ultimately didn’t see any competition concerns from the takeover.

“Following our review and feedback from market participants, we do not consider that Everyday Market from Woolworths is a significant competitor to MyDeal or other online marketplaces and consequently, this acquisition is unlikely to substantially lessen competition,” ACCC Commissioner Liza Carver said.

The ACCC found it was “unlikely” that Woolworths’ retail position could be leveraged into MyDeal’s online sales marketplace in an anti-competitive way.

“Woolworths would continue to face significant competition from online marketplace platforms available to third-party sellers,” Carver said.