diff --git a/inttest/tdeps2/a.erl b/inttest/tdeps2/a.erl
new file mode 100644
index 0000000..29538e0
--- /dev/null
+++ b/inttest/tdeps2/a.erl
@@ -0,0 +1,4 @@
+-module({{module}}).
+
+-include_lib("b/include/b.hrl").
+
diff --git a/inttest/tdeps2/a.rebar.config b/inttest/tdeps2/a.rebar.config
new file mode 100644
index 0000000..afeef7a
--- /dev/null
+++ b/inttest/tdeps2/a.rebar.config
@@ -0,0 +1,2 @@
+{deps, [{b, "1", {hg, "../repo/b", "tip"}}]}.
+
diff --git a/inttest/tdeps2/b.hrl b/inttest/tdeps2/b.hrl
new file mode 100644
index 0000000..897f348
--- /dev/null
+++ b/inttest/tdeps2/b.hrl
@@ -0,0 +1,3 @@
+
+-include_lib("c/include/c.hrl").
+
diff --git a/inttest/tdeps2/b.rebar.config b/inttest/tdeps2/b.rebar.config
new file mode 100644
index 0000000..ced29cc
--- /dev/null
+++ b/inttest/tdeps2/b.rebar.config
@@ -0,0 +1,2 @@
+{deps, [{c, "1", {hg, "../repo/c", "tip"}}]}.
+
diff --git a/inttest/tdeps2/c.hrl b/inttest/tdeps2/c.hrl
new file mode 100644
index 0000000..84cf2d4
--- /dev/null
+++ b/inttest/tdeps2/c.hrl
@@ -0,0 +1,2 @@
+-define(HELLO, hello).
+
diff --git a/inttest/tdeps2/root.rebar.config b/inttest/tdeps2/root.rebar.config
new file mode 100644
index 0000000..005adfe
--- /dev/null
+++ b/inttest/tdeps2/root.rebar.config
@@ -0,0 +1,2 @@
+{sub_dirs, ["apps/a1",
+            "apps/a2"]}.
diff --git a/inttest/tdeps2/tdeps2_rt.erl b/inttest/tdeps2/tdeps2_rt.erl
new file mode 100644
index 0000000..11f9a32
--- /dev/null
+++ b/inttest/tdeps2/tdeps2_rt.erl
@@ -0,0 +1,57 @@
+-module(tdeps2_rt).
+
+-compile(export_all).
+
+%% Exercise transitive dependencies where there are multiple files
+%% depending on the same set of deps
+%% [A1, A2] -> B -> C ; A1 and A2 includes B.hrl which includes C.hrl
+
+files() ->
+    [
+     %% A1 application
+     {create, "apps/a1/ebin/a1.app", app(a1)},
+     {copy, "a.rebar.config", "apps/a1/rebar.config"},
+     {template, "a.erl", "apps/a1/src/a1.erl", dict:from_list([{module, a1}])},
+
+     %% A2 application
+     {create, "apps/a2/ebin/a2.app", app(a2)},
+     {copy, "a.rebar.config", "apps/a2/rebar.config"},
+     {template, "a.erl", "apps/a2/src/a2.erl", dict:from_list([{module, a2}])},
+
+     {copy, "root.rebar.config", "rebar.config"},
+     {copy, "../../rebar", "rebar"},
+
+     %% B application
+     {create, "repo/b/ebin/b.app", app(b)},
+     {copy, "b.rebar.config", "repo/b/rebar.config"},
+     {copy, "b.hrl", "repo/b/include/b.hrl"},
+
+     %% C application
+     {create, "repo/c/ebin/c.app", app(c)},
+     {copy, "c.hrl", "repo/c/include/c.hrl"}
+    ].
+
+run(_Dir) ->
+    %% Initialize the b/c apps as mercurial repos so that dependencies pull
+    %% properly
+    HgCmd = "/bin/sh -c \"hg init && hg add && hg commit -m 'Initial commit'\"",
+    {ok, _} = retest_sh:run(HgCmd, [{dir, "repo/b"}]),
+    {ok, _} = retest_sh:run(HgCmd, [{dir, "repo/c"}]),
+
+
+    {ok, _} = retest_sh:run("./rebar -v get-deps compile", []),
+    ok.
+
+
+
+%%
+%% Generate the contents of a simple .app file
+%%
+app(Name) ->
+    App = {application, Name,
+           [{description, atom_to_list(Name)},
+            {vsn, "1"},
+            {modules, []},
+            {registered, []},
+            {applications, [kernel, stdlib]}]},
+    io_lib:format("~p.\n", [App]).