Standard Bank Group Ltd v Credit Suisse Standard Securities (Pty) Ltd (66/LM/Oct10) [2010] ZACT 89; [2010] 2 CPLR 368 (CT) (15 December 2010)

Standard Bank Group Ltd v Credit Suisse Standard Securities (Pty) Ltd (66/LM/Oct10) [2010] ZACT 89; [2010] 2 CPLR 368 (CT) (15 December 2010)

The Tribunal found that the proposed transaction would not result in any substantial prevention or lessening of competition in the relevant market for institutional stock brokerage services. The merging parties do not compete in the same market segment, and CSSS's market share is expected to decrease as foreign institutional investors will continue to transact through Credit Suisse Johannesburg. There are other effective competitors in the market, and no significant public interest concerns arise from the transaction. Accordingly, the Tribunal unconditionally approved the merger.

Citation
[2010] ZACT 89
Parties
Applicant: Standard Bank Group Limited; Respondent: Credit Suisse Standard Securities (Pty) Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
15 December 2010
Case Number
66/LM/Oct10
Procedural Posture
Merger Application / Approval
Outcome
Merger unconditionally approved.
Judges
Norman Manoim, Yasmin Carrim, Andreas Wessels
Legal Topics
Merger Control, Institutional Stock Brokerage, Market Share Analysis
Competition Law Commercial and Corporate Merger Control Institutional Stock Brokerage Market Share Analysis

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 2
Sign in to unlock

Parties

Standard Bank Group Limited

Applicant

Credit Suisse Standard Securities (Pty) Ltd

Respondent

Procedural Posture

Merger Application / Approval

Legal Issues

  1. 1 Whether the proposed acquisition of Credit Suisse Standard Securities by Standard Bank Group is likely to substantially prevent or lessen competition in the relevant market.
  2. 2 Whether any significant public interest concerns arise from the transaction.

Ratio Decidendi

The Tribunal found that the proposed transaction would not result in any substantial prevention or lessening of competition in the relevant market for institutional stock brokerage services. The merging parties do not compete in the same market segment, and CSSS's market share is expected to decrease as foreign institutional investors will continue to transact through Credit Suisse Johannesburg. There are other effective competitors in the market, and no significant public interest concerns arise from the transaction. Accordingly, the Tribunal unconditionally approved the merger.

Court Disposition

Merger unconditionally approved.

Orders

  • The acquisition of Credit Suisse Standard Securities (Pty) Ltd by Standard Bank Group Limited is approved without conditions.