Masimo Ventures (Pty) Ltd and Another v CBD Residency (Pty) Ltd and Another (LM033May24) [2024] ZACT 28 (4 July 2024)
- Citation
- [2024] ZACT 28
- Status
- Order
- Jurisdiction
- South Africa
- Court
- Competition Tribunal
- Panel
- A Wessels, G Budlender, I Valodia
- Case number
- LM033May24
More details
- Court
- Competition Tribunal
- Panel
- A Wessels, G Budlender, I Valodia
- Case number
- LM033May24
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The Tribunal found that the proposed merger between the parties does not raise competition concerns and complies with the requirements of the Competition Act. There was no evidence of substantial prevention or lessening of competition, nor any adverse public interest effects. Accordingly, the Tribunal approved the merger in terms of section 16(2)(a) and ordered the issuance of a Merger Clearance Certificate under Rule 35(5)(a).
Court disposition
Merger approved and Merger Clearance Certificate ordered.
Orders
- The merger between Masimo Ventures (Pty) Ltd, Mr Conrad Dana Kgwadi, CBD Residency (Pty) Ltd, and CBD Residency 2 (Pty) Ltd is approved in terms of section 16(2)(a) of the Competition Act.
- A Merger Clearance Certificate is to be issued in terms of Competition Tribunal Rule 35(5)(a).
02
Material facts
Parties
Masimo Ventures (Pty) Ltd
ApplicantMr Conrad Dana Kgwadi
ApplicantCBD Residency (Pty) Ltd
RespondentCBD Residency 2 (Pty) Ltd
Respondent03
Procedural history
Posture
Merger Application / Final Determination
04
Questions and positions
Legal issues
- 01
Whether the proposed merger between Masimo Ventures (Pty) Ltd, Mr Conrad Dana Kgwadi, CBD Residency (Pty) Ltd, and CBD Residency 2 (Pty) Ltd should be approved under section 16(2)(a) of the Competition Act.
- 02
Whether a Merger Clearance Certificate should be issued in terms of Competition Tribunal Rule 35(5)(a).
Party arguments
- Applicant
- The applicants submitted that the merger meets the requirements of the Competition Act and does not substantially prevent or lessen competition in any relevant market. They argued that the transaction would not result in negative public interest effects and requested approval and issuance of a clearance certificate.
- Respondent
- The respondents did not oppose the merger and confirmed that the transaction complies with the provisions of the Competition Act. They supported the issuance of a Merger Clearance Certificate.
05
Court’s reasoning
Legal principles
- 01
Competition Act, 1998, section 16(2)(a)
A merger may be approved if it does not substantially prevent or lessen competition, or if any such effect is outweighed by public interest considerations.
- 02
Competition Tribunal Rule 35(5)(a)
The Tribunal may issue a Merger Clearance Certificate upon approval of a merger.
06
Ratio, limits and disposition
Ratio decidendi
The Tribunal found that the proposed merger between the parties does not raise competition concerns and complies with the requirements of the Competition Act. There was no evidence of substantial prevention or lessening of competition, nor any adverse public interest effects. Accordingly, the Tribunal approved the merger in terms of section 16(2)(a) and ordered the issuance of a Merger Clearance Certificate under Rule 35(5)(a).
Court disposition
Merger approved and Merger Clearance Certificate ordered.
- The merger between Masimo Ventures (Pty) Ltd, Mr Conrad Dana Kgwadi, CBD Residency (Pty) Ltd, and CBD Residency 2 (Pty) Ltd is approved in terms of section 16(2)(a) of the Competition Act.
- A Merger Clearance Certificate is to be issued in terms of Competition Tribunal Rule 35(5)(a).
Source and reliance status
Competition Tribunal
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Competition Tribunal
Order
COMPETITION
TRIBUNAL REPUBLIC OF SOUTH AFRICA
Case No.: LM033May24
In the matter between: Masimo Ventures (Pty) Ltd and Mr Conrad Primary Acquiring Firms Dana Kgwadi And CBD Residency (Pty) Ltd and CBD Residency 2 (Pty) Ltd Primary Target Firms
Panel A Wessels (Presiding Member) G Budlender (Tribunal Member) I Valodia (Tribunal Member) Heard on: 04 July 2024 Decided on: 04 July 2024
ORDER
Further to the recommendation of the Competition Commission in terms of section 14A(1)(b) of the Competition Act, 1998 (“the Act”) the Competition Tribunal orders that–
1. the merger between the abovementioned parties be approved in terms of section 16(2)(a) of the Act; and
2. a Merger Clearance Certificate be issued in terms of Competition Tribunal Rule 35(5)(a).
Presiding Member
04 July 2024
Mr Andreas Wessels
Date
Concurring: Adv Geoff Budlender SC and Prof Imraan Valodia
Case-aware research
Ask AI about this case
The judgment and available research above are public. New questions open in a separate private conversation grounded in this case.