Investec Bank Ltd v Clidet 763 (Pty) Ltd (05/LM/FEB10) [2010] ZACT 28 (16 April 2010)

Investec Bank Ltd v Clidet 763 (Pty) Ltd (05/LM/FEB10) [2010] ZACT 28 (16 April 2010)

The Tribunal found that the proposed transaction does not result in any product overlap, as Investec Bank Ltd is not involved in the formwork and scaffolding market in which the target firm operates. The Commission's investigation confirmed that Investec has no subsidiaries active in the relevant market. The Tribunal agreed with the Commission's assessment that the transaction is unlikely to substantially lessen or prevent competition. Furthermore, there are no significant public interest concerns arising from the transaction. Accordingly, the Tribunal approved the merger unconditionally.

Citation
[2010] ZACT 28
Parties
Applicant: Investec Bank Ltd; Respondent: Clidet 763 (Pty) Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
16 April 2010
Case Number
05/LM/FEB10
Procedural Posture
Merger Approval / Final Determination
Outcome
Merger unconditionally approved.
Judges
Norman Manoim, Yasmin Carrim, Andreas Wessels
Legal Topics
Merger Control, Sole Control Acquisition, Public Interest Assessment
Competition Law Commercial and Corporate Merger Control Sole Control Acquisition Public Interest Assessment

Case Brief

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Parties

Investec Bank Ltd

Applicant

Clidet 763 (Pty) Ltd

Respondent

Procedural Posture

Merger Approval / Final Determination

Legal Issues

  1. 1 Whether the proposed acquisition by Investec Bank Ltd of a majority shareholding in Clidet 763 (Pty) Ltd will substantially lessen or prevent competition in any relevant market.
  2. 2 Whether there are any significant public interest concerns arising from the transaction.

Ratio Decidendi

The Tribunal found that the proposed transaction does not result in any product overlap, as Investec Bank Ltd is not involved in the formwork and scaffolding market in which the target firm operates. The Commission's investigation confirmed that Investec has no subsidiaries active in the relevant market. The Tribunal agreed with the Commission's assessment that the transaction is unlikely to substantially lessen or prevent competition. Furthermore, there are no significant public interest concerns arising from the transaction. Accordingly, the Tribunal approved the merger unconditionally.

Court Disposition

Merger unconditionally approved.

Orders

  • The merger between Investec Bank Ltd and Clidet 763 (Pty) Ltd is approved without conditions.