Merger Alert: Tribunal clears GEPF-led acquisition of Balwin Properties and Danish infrastructure fund manager given green light to expand presence in SA's cold-chain logistics services

Competition Tribunal clears GEPF-led acquisition of Balwin Properties

 The Competition Tribunal has unconditionally approved a merger that will see K2025746588 (South Africa) (Pty) Ltd (“Bidco”) acquire Balwin Properties Ltd (“Balwin”). Following the implementation of the merger, Balwin will be under the control of Bidco.

Bidco is jointly controlled by the Government Employees Pension Fund ("GEPF"), represented by the Public Investment Corporation SOC Ltd ("PIC"), and Volker Holdings (Pty) Ltd ("Volker").

The PIC, a state-owned firm controlled by the South African Government, serves as the GEPF’s asset manager. Acting on behalf of the GEPF, it manages investments across a range of asset classes including equities, property and fixed income. Among others, the GEPF holds a portfolio of residential properties in South Africa.

Volker, meanwhile, is a holding company established solely to hold shares in Balwin on behalf of the founder and Chief Executive Officer of Balwin. Beyond its non-controlling shareholding in Balwin, it has no commercial interests in residential or other property.

Balwin forms part of a broader diversified property ownership and development group, with operations focused on the residential property sector.

Danish infrastructure fund manager given green light to expand presence in SA's cold-chain logistics services

The Tribunal has unconditionally approved a merger in which Vector Logistics (Pty) Ltd (“Vector Logistics”) will acquire LMC Express (Pty) Ltd (“LMC Express”) and LMC Express Human Resource and Employment (Pty) Ltd (“LMC HRE”).

The transaction will place both LMC Express and LMC HRE under the sole control of Vector Logistics. Although ownership will change, the two firms will continue operating as standalone businesses and will not be absorbed into Vector Logistics' day-to-day operations.

Vector Logistics is controlled by a Danish infrastructure fund manager. It forms part of a broader group that, through Vector Logistics, provides integrated cold chain logistics services in South Africa, offering end-to-end transportation, storage and distribution solutions to domestic business-to-business customers for frozen food and related products.

LMC Express is a specialist provider of temperature-controlled transport services that moves frozen, chilled and dry goods between major centres including Cape Town, Johannesburg, Durban and Port Elizabeth. Its services are mainly used by small producers, manufacturers and retailers that require safe and efficient transportation of their goods. LMC HRE supports these operations by providing administrative services exclusively to LMC Express.