Redefine Properties Limited v Hyprop Investment Limited in Respect of Stoneridge Shopping Centre (020628) [2015] ZACT 27 (24 March 2015)

Redefine Properties Limited v Hyprop Investment Limited in Respect of Stoneridge Shopping Centre (020628) [2015] ZACT 27 (24 March 2015)

The Tribunal found that the relevant market is the market for rentable retail space, specifically value centres within a 15km radius of Stoneridge Shopping Centre. Redefine does not own any value centres and will be a new entrant, resulting in no overlaps between the parties' activities. The Commission's investigation confirmed that comparative centres, such as the Freeway Centre, are not viable alternatives to Stoneridge. Therefore, the proposed transaction is unlikely to substantially prevent or lessen competition. Furthermore, no public interest concerns were identified. The Tribunal agreed with the Commission's analysis and unconditionally approved the merger.

Citation
[2015] ZACT 27
Parties
Applicant: Redefine Properties Limited; Respondent: Hyprop Investments Limited
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
24 March 2015
Case Number
020628
Procedural Posture
Merger Approval / Final Decision
Outcome
Merger unconditionally approved.
Judges
Medi Mokuena, Anton Roskam, Imraan Valodia
Legal Topics
Merger Control, Substantial Lessening of Competition, Public Interest Assessment
Competition Law Merger Control Substantial Lessening of Competition Public Interest Assessment

Case Brief

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Parties

Redefine Properties Limited

Applicant

Hyprop Investments Limited

Respondent

Procedural Posture

Merger Approval / Final Decision

Legal Issues

  1. 1 Whether the proposed acquisition of Stoneridge Shopping Centre by Redefine Properties Limited is likely to substantially prevent or lessen competition in the relevant market.
  2. 2 Whether any public interest concerns arise from the proposed transaction.

Ratio Decidendi

The Tribunal found that the relevant market is the market for rentable retail space, specifically value centres within a 15km radius of Stoneridge Shopping Centre. Redefine does not own any value centres and will be a new entrant, resulting in no overlaps between the parties' activities. The Commission's investigation confirmed that comparative centres, such as the Freeway Centre, are not viable alternatives to Stoneridge. Therefore, the proposed transaction is unlikely to substantially prevent or lessen competition. Furthermore, no public interest concerns were identified. The Tribunal agreed with the Commission's analysis and unconditionally approved the merger.

Court Disposition

Merger unconditionally approved.

Orders

  • The merger between Redefine Properties Limited and Hyprop Investments Limited in respect of Stoneridge Shopping Centre is approved without conditions.