Barloworld subsidiary acquires Leo Haese Centurion
The Tribunal has unconditionally approved the proposed transaction whereby RO Metrics Trading (Pty) Ltd (RO Metrics) seeks to acquire the passenger vehicle dealership business and related assets of Auto Motorsport t/a Leo Haese Centurion.
RO Metrics is controlled by Barloworld Motor Retail South Africa, a division of Barloworld SA which is, in turn, a wholly owned subsidiary of Barloworld Ltd. Barloworld shares are widely held, and the company is not controlled by any firm. Of relevance to the transaction is the fact that RO Metrics owns a BMW dealership in Pretoria.
Leo Haese Centurion is owned and controlled by Auto Motorsport. Auto Motorsport is owned by the Leo Haese Family Trust.
In its analysis of the transaction, the Commission found that the merging parties are both active in the retail of new passenger vehicles (under the BMW/Mini brands), the retail of used passenger vehicles, the sale of aftermarket parts and the provision of aftersales service and maintenance work.
The Commission also assessed the impact of the transaction in the markets for:
- the sale of new passenger vehicles in Tshwane;
- passenger vehicles in mid-tier to luxury level vehicles in Tshwane;
- the sale of new passenger vehicles within an 80km radius of the target dealership;
- the market for the sale of used passenger vehicles in Tshwane;
- the sale of used passenger vehicles in Gauteng;
- the sale of used passenger vehicles within South Africa;
- the provision of aftersales BMW/Mini spare parts in Tshwane and maintenance of vehicles with service plans and still under warranty; and
- the provision of aftersales servicing and maintenance of vehicles for BMW/Mini vehicles in Tshwane.
The Commission found, among others, that the merging parties will continue to face competition; that the proposed merger is unlikely to substantially prevent or lessen competition; and that the transaction is unlikely to significantly change the market structure.
Tribunal approves merger in market for Gauteng casino venues/complexes
The Tribunal has approved, without conditions, a large merger whereby hospitality and entertainment company, Peermont (Pty) Ltd, seeks to acquire LCI (Overseas) Investments (Pty) Ltd.
Peermont, a hospitality and entertainment company, owns and operates casino complexes and short-term accommodation and conference facilities in South Africa and Botswana. In South Africa, Peermont operates eight casino complexes. Of relevance to the proposed transaction is Emperor’s Palace in Gauteng.
LCI operates a casino complex in South Africa through Emerald Safari Resort (Pty) Ltd (Emerald). Emerald also provides short-term accommodation and conferencing facilities.
The Commission, which assesses large mergers before referring such to the Tribunal for adjudication, found that the transaction does not raise any competition or public interest concerns.
Merger involving aluminium rolling slab business approved without conditions
In this approved merger, Hulamin Ltd, through its subsidiary Hulamin Systems/SlabCo, acquires the aluminium rolling slab business of Isizinda Aluminium (Pty) Ltd. The Tribunal has approved the transaction without conditions.
While SlabCo is a dormant firm, Hulamin operates plants in Pietermaritzburg and Midrand that produce aluminium flat rolled products, extrusions and rigid foil containers. Hulamin sources most of its aluminium from South32 Hillside’s smelter and Isizinda.
Isizinda’s rolling slab business procures liquid aluminium from a smelter in Hillside and adds various alloying elements to produce different types of rolling slabs. Its total rolling slab output is supplied to Hulamin.
In its assessment, the Commission found that that the transaction does not give rise to any competition or public interest concerns.
Senwes acquires Grainovation
The Tribunal has approved the merger whereby agricultural company, Senwes Ltd, seeks to acquire Grainovation (Pty) Ltd, a logistics company that specialises in grain transportation.
Senwes provides input supplies, storage, handling, financing, insurance and trading services to grain producers.
The merger, which raises no competition or public interest concerns, has been approved without conditions.