Uniliver International Holdings N.V v Uniliver N.V and Uniliver PLC (LM043May18) [2018] ZACT 30 (26 July 2018)

Uniliver International Holdings N.V v Uniliver N.V and Uniliver PLC (LM043May18) [2018] ZACT 30 (26 July 2018)

The Tribunal found that the proposed transaction is an internal reorganisation of the Unilever group at the parent level, with no impact on operational control or employment in South Africa. The Competition Commission's investigation confirmed that the transaction would not substantially prevent or lessen competition in any relevant market. Concerns raised by the union were either addressed by written assurances from the merging parties or found to be unrelated to the merger. No public interest or employment issues arise from the transaction. Accordingly, the Tribunal approved the merger unconditionally.

Citation
[2018] ZACT 30
Parties
Applicant: Unilever International Holdings N.V.; Respondent: Unilever N.V.; Respondent: Unilever PLC
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
26 July 2018
Case Number
LM043May18
Procedural Posture
Merger Approval / Final Determination
Outcome
The proposed transaction is approved unconditionally.
Judges
AW Wessels, E Daniels, F Tregenna
Legal Topics
Merger Control, Public Interest, Internal Reorganisation
Competition Law Merger Control Public Interest Internal Reorganisation

Case Brief

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Parties

Unilever International Holdings N.V.

Applicant

Unilever N.V.

Respondent

Unilever PLC

Respondent

Procedural Posture

Merger Approval / Final Determination

Legal Issues

  1. 1 Whether the proposed transaction is likely to substantially prevent or lessen competition in any relevant market in South Africa.
  2. 2 Whether the proposed transaction raises any employment or other public interest concerns.

Ratio Decidendi

The Tribunal found that the proposed transaction is an internal reorganisation of the Unilever group at the parent level, with no impact on operational control or employment in South Africa. The Competition Commission's investigation confirmed that the transaction would not substantially prevent or lessen competition in any relevant market. Concerns raised by the union were either addressed by written assurances from the merging parties or found to be unrelated to the merger. No public interest or employment issues arise from the transaction. Accordingly, the Tribunal approved the merger unconditionally.

Court Disposition

The proposed transaction is approved unconditionally.

Orders

  • The proposed merger between Unilever International Holdings N.V., Unilever N.V., and Unilever PLC is approved without conditions.