Motus group acquires Atlantis Nissan dealership in Centurion
following Tribunal merger approval

 
The Tribunal has approved the large merger, without conditions, whereby Motus Group will acquire the Atlantis Nissan dealership (in Centurion) as a going concern. 
 
The Commission, which assesses large mergers before referring them to the Tribunal for a decision, considered the market for the retail of (i) new and used passenger and (ii) light commercial vehicles within an 80km radius from Centurion.
 
Given the minimal accretion in the relevant markets, the Commission was of the view that the proposed transaction is unlikely to alter the structure of the new passenger and light commercial vehicle markets affected by the proposed merger. In addition, the Commission found that the proposed transaction does not appear to increase concentration in the relevant markets and that the merged entity is unlikely to exercise market power.
 
The Commission concluded that the transaction does not raise any competition or public interest concerns and recommended that the merger be approved without conditions.

 
The Tribunal has approved, with conditions, a transaction which is a de-merger in the agricultural product retail market, in which AFGRI Operations Limited (“AFGRI”) and Senwes Ltd (“Senwes”) intend to terminate a Joint Venture formed in 2013, named Hinterland Holdings (Pty) Ltd (“Hinterland JV”).
 
AFGRI will re-acquire certain assets and businesses owned by the joint venture which it had formerly contributed, while Senwes will acquire AFGRI’s interest in the Hinterland JV. Post-merger, Senwes will have sole control of the Hinterland business.
 
While the merger presents no competition issues, public interest concerns were raised in relation to employment. The Tribunal has approved the transaction on condition that no retrenchments take place for a period of two years.  
 
AFGRI Group operates through seven divisions which are involved in the growing of agricultural produce and the retail of agricultural products. Its product offering comprises input and mechanisation solutions to farmers, grain management through secure storage of agricultural products, financial services with a main focus on risk solution and insurance, collateral and stock monitoring and farming equipment, among other things.
 
Senwes is one of the largest agricultural businesses in South Africa which provides grain handling and storage, financing, grain trading, grain transport, equipment sales, agricultural retail stores, insurance, agriculture inputs, and agriculture services to commercial farmers, processors (millers and oil seed processors) and traders.