Reliance acquires its largest competitor, National

Shortly after agreeing to pay hefty $5 million penalty to settle the Competition Bureau’s allegations that it engaged in anti-competitive tactics to prevent competitors from expanding, hot water heater supplier rental Reliance Home Comfort acquired its largest competitor, National Energy Corporation. The Bureau approved the Reliance-National transaction on November 17, primarily as a result of a consent agreement reached between Reliance and the Bureau earlier this month, in which Reliance agreed to change its heater return policies and make it easier for customers to switch to other rental providers. On the basis of the consent agreement, the Bureau found that the proposed merger is unlikely to substantially lessen or prevent competition.

Interestingly, National had intervened to support the Bureau in its abuse of dominance case against Reliance.

Reliance also supplies furnaces and air conditioners.