Glencore looks to sell non-core assets to joint venture partner
Earlier today the Competition Tribunal heard a merger between Rustenburg Platinum Mines (RPM) Limited and Mototolo Joint Venture. In terms of the proposed transaction, RPM will acquire Glencore Operations South Africa (Pty) Ltd’s (Glencore) interest in the Mototolo JV, Glencore’s interest in the chrome ore produced by the Mototolo JV as well as the movable portions of the Mototolo chrome recovery circuit that are owned by Glencore. Once the transaction is implemented RPM will control the Mototolo JV.
RPM is a wholly owned subsidiary of Anglo American Platinum Limited. The Mototolo JV, on the other hand, is a joint venture between RPM and Glencore created to own and run the Mototolo mine, which produces Platinum Group Metal ore as well as a number of precious metal ores (including chrome) as a by-product.
The Competition Commission, which assesses large mergers prior to referring them to the Tribunal for decision, considered the proposed merger and concluded that it was unlikely to raise competition concerns. Accordingly, the Commission recommended that the Tribunal approve the transaction without conditions. The Tribunal heard this merger earlier today and approved it without conditions.
Investec looks to acquire higher education interests in two transactions
In the first of two transactions aimed at transferring control of the Richfield Group to Investec Limited, IAPEF2 Education Holdings Ltd (IAPEF2) intends to purchase shares in RZT Zelpy 4472 (Pty) Ltd (RZT). IAPEF2 is ultimately owned by Investec Ltd while RZT is a holding company for a number of subsidiaries that provide higher education and training in South Africa, collectively referred to as the Richfield Group.
The Competition Commission assessed the transaction and concluded that it was unlikely to raise competition concerns. However, since it was unclear when the second transaction was likely to take place the Commission included, as a condition to the merger, a requirement that the merging parties notify the second transaction with the Commission when it occurs.
The Competition Tribunal heard this merger earlier today and approved it with conditions.
Vanchem seeks to intervene in upcoming merger hearing
Today the Competition Tribunal heard an application by Vanchem Vanadium Products (Pty) Ltd (Vanchem) to intervene in the Tribunal’s proceedings when it considers the proposed merger between IRL (South Africa) Resources Investments (Pty) Ltd and Mapochs Mine (Pty) Ltd.
The proposed merger was previously prohibited by the Competition Commission. Thereafter the merging parties referred the merger to the Tribunal for its consideration, in an effort to overturn the Commission’s earlier finding.
Vanchem, which operates in the downstream vanadium products market, believes it could be affected by the outcome of the Tribunal’s proceedings hence it seeks to participate fully in the proceedings. IRL (South Africa) Resources Investments, however, opposed Vanchem’s application.
The Tribunal heard the application and will issue its order in due course.