Lexshell 38 General Trading (Pty) Ltd and Another v Richtrau No 123 (Pty) Ltd (83/LM/JUL08) [2008] ZACT 88 (22 October 2008)

Lexshell 38 General Trading (Pty) Ltd and Another v Richtrau No 123 (Pty) Ltd (83/LM/JUL08) [2008] ZACT 88 (22 October 2008)

The Tribunal found that the proposed merger between Lexshell, Clidet, and Richtrau would not result in any substantial lessening or prevention of competition in the platinum mining sector. The combined post-merger market share of 6.48% was considered too low to raise competition concerns. Furthermore, there were no public interest issues identified. The Tribunal therefore approved the merger unconditionally.

Citation
[2008] ZACT 88
Parties
Applicant: Lexshell 38 General Trading (Pty) Ltd; Applicant: Clidet No 832 (Pty) Ltd; Respondent: Richtrau No 123 (Pty) Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
22 October 2008
Case Number
83/LM/JUL08
Procedural Posture
Merger Application / Approval
Outcome
Merger approved unconditionally.
Judges
N Manoim, Y Carrim, M Mokoena
Legal Topics
Merger Control, Horizontal Overlap, Market Share Analysis, Public Interest
Competition Law Commercial and Corporate Merger Control Horizontal Overlap Market Share Analysis Public Interest

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 2 Authorities cited 1 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Parties

Lexshell 38 General Trading (Pty) Ltd

Applicant

Clidet No 832 (Pty) Ltd

Applicant

Richtrau No 123 (Pty) Ltd

Respondent

Procedural Posture

Merger Application / Approval

Legal Issues

  1. 1 Whether the proposed merger will result in a substantial lessening or prevention of competition in the platinum mining sector.
  2. 2 Whether there are any public interest concerns arising from the merger.

Ratio Decidendi

The Tribunal found that the proposed merger between Lexshell, Clidet, and Richtrau would not result in any substantial lessening or prevention of competition in the platinum mining sector. The combined post-merger market share of 6.48% was considered too low to raise competition concerns. Furthermore, there were no public interest issues identified. The Tribunal therefore approved the merger unconditionally.

Court Disposition

Merger approved unconditionally.

Orders

  • The merger between Lexshell 38 General Trading (Pty) Ltd, Clidet No 832 (Pty) Ltd, and Richtrau No 123 (Pty) Ltd is approved without conditions.