OUTCOME OF CASES HEARD BY THE TRIBUNAL - 24 JUNE 2020
|
Type of matter | Parties involved | Commission’s recommendation to the Tribunal | Tribunal Decision |
| Consent agreement | Competition Commission And Shoprite Checkers (Pty) Ltd | Confirm as an order of the Tribunal | Postponed pending submission of further information from parties |
| Consent agreement | Competition Commission And Mobile Telephone Networks (Pty) Ltd (MTN) | Confirm as an order of the Tribunal | Confirmed as an order of the Tribunal |
| Settlement agreement | Competition Commission And Haw & Inglis Civil Engineering (Pty) Ltd | Confirm as an order of the Tribunal | Confirmed as an order of the Tribunal |
| Large merger | Emasa Holdings (Pty) Ltd & Dewfresh (Pty) Ltd | Approve without conditions | Approved without conditions |
Tribunal approves agreement between Commission and MTN
on reduced data prices
The Tribunal has approved a consent agreement concluded between the Competition Commission and MTN, whereby data prices will be reduced.
This follows the Commission’s Data Services Market Inquiry (DSMI), its resulting findings and recommendations as well as discussions between the Commission and MTN. MTN makes no admission of liability for any conduct prohibited under the Competition Act.
In terms of the consent agreement MTN has, among others, undertaken: to reduce the price of 30-day prepaid bundles; to offer its customers a capped daily free data bundle to use in Ayoba; and to offer its customers capped Zero-Rated Access to websites focusing on education, healthcare and job recruitment via MTN's own website.
A copy of the consent agreement will be made publicly available on the Tribunal’s website in due course.
Tribunal approves settlement between Commission, Haw & Inglis Civil Engineering
The Tribunal has approved a settlement agreement between the Commission and Haw and Inglis Civil Engineering (Pty) Ltd (H&I), whereby H&I’s immunity has been finalised in relation to collusive bidding on a 2006 SANRAL tender.
The matter dates back to February 2011 when the Commission invited construction companies to come forward regarding suspected contraventions of the Competition Act.
H&I responded and informed the Commission of collusive bidding involving itself and another company, Power (West Cape). The conduct involved H&I requesting Power (West Cape) to submit a cover bid higher than its own for a SANRAL tender for the periodic maintenance of the N1 from Touws River to Laingsburg. H&I was awarded the tender.
As H&I was the first company to inform the Commission of the collusive conduct, it was granted conditional immunity from a fine.
The Commission subsequently referred its findings to the Tribunal for adjudication. In September 2019, the Tribunal confirmed a settlement between the Commission and Power (West Cape). This leaves H&I as the only remaining respondent in the matter.
This settlement agreement finalises the matter by confirming H&I’s conduct as a contravention of the Competition Act and completing its immunity from a fine.
Tribunal approves transaction whereby GEPF will acquire shares in Dewfresh
The Tribunal has approved, without conditions, the proposed transaction whereby Emasa Holdings (Pty) Ltd (Emasa) will acquire shares in Dewfresh (Pty) Ltd (Dewfresh). Emasa and pre-existing shareholders of Dewfresh will exercise joint control over Dewfresh.
The Commission, which assesses large mergers before referring them to the Tribunal for a decision, found that the transaction is unlikely to substantially prevent or lessen competition in any market. In addition, it found that the transaction raises positive public interest considerations, particularly in relation to employment and the promotion of a greater spread of ownership.
Emasa is a special purpose vehicle incorporated for purposes of the proposed transaction. Its ultimate controlling firm, GEPF, is the largest pension fund in Africa which administers and manages pensions and other benefits for its members through investments. GEPF is represented by the Public Investment Corporation SOC Limited (the PIC). The PIC is government owned and acts as an investment portfolio manager for GEPF.
Dewfresh produces fresh dairy products and fruit juices marketed under the Dewfresh, Pick n Pay, Gero, Foodplus and Dairygold brands. Its business consists of a milk processing facility (where fresh and long life milk are processed) and a cross dock and administration facility.
Issued by:
Gillian de Gouveia, Communications Officer
On behalf of the Competition Tribunal of South Africa
Tel: +27 (0) 12 394 1383
Cell: +27 (0) 82 410 1195
E-Mail: GillianD@comptrib.co.za
Twitter: @comptrib
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