Daimler Trucks Holding AG v Daimler AG obo the Transfer Business (LM124Nov21) [2022] ZACT 12 (3 February 2022)

Daimler Trucks Holding AG v Daimler AG obo the Transfer Business (LM124Nov21) [2022] ZACT 12 (3 February 2022)

The Tribunal found that the proposed transaction is an internal restructuring that does not alter the structure of the market or the existing vertical relationship between the parties. There is no horizontal overlap, and the vertical relationship is maintained post-merger. The transaction does not raise any public interest concerns, including employment or ownership issues, as confirmed by both the merging parties and the Commission. The Tribunal concurred with the Commission's finding that the merger is unlikely to substantially prevent or lessen competition in any relevant market and raises no public interest concerns.

Citation
[2022] ZACT 12
Parties
Applicant: Daimler Trucks Holding AG; Respondent: Daimler AG obo the Transfer Business
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
3 February 2022
Case Number
LM124Nov21
Procedural Posture
Merger Control / Reasons for Decision
Outcome
The merger is unconditionally approved.
Judges
Andreas Wessels, Enver Daniels, Liberty Mncube
Legal Topics
Merger Control, Vertical Relationships, Public Interest, Employment Effects, Ownership Concerns
Competition Law Merger Control Vertical Relationships Public Interest Employment Effects Ownership Concerns

Case Brief

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Parties

Daimler Trucks Holding AG

Applicant

Daimler AG obo the Transfer Business

Respondent

Procedural Posture

Merger Control / Reasons for Decision

Legal Issues

  1. 1 Whether the proposed merger between Daimler Trucks Holding AG and Daimler AG obo the Transfer Business is likely to substantially prevent or lessen competition in any relevant market.
  2. 2 Whether the transaction raises any public interest concerns, including employment and ownership issues.

Ratio Decidendi

The Tribunal found that the proposed transaction is an internal restructuring that does not alter the structure of the market or the existing vertical relationship between the parties. There is no horizontal overlap, and the vertical relationship is maintained post-merger. The transaction does not raise any public interest concerns, including employment or ownership issues, as confirmed by both the merging parties and the Commission. The Tribunal concurred with the Commission's finding that the merger is unlikely to substantially prevent or lessen competition in any relevant market and raises no public interest concerns.

Court Disposition

The merger is unconditionally approved.

Orders

  • The proposed merger between Daimler Trucks Holding AG and Daimler AG obo the Transfer Business is approved without conditions.