Description of Activities

Description: The Commission resolved to approve without conditions the acquisition of controlling interest through an indivisible transaction by three undertakings, namely Black Ash Investments Proprietary Limited, Water Ash Investments Proprietary Limited, and Azolla Investments Proprietary Limited, of shares in Lluvia Sugar Distributors Namibia Proprietary Limited.

Acquiring group: The acquiring group exports beer powder and instant porridge to the target undertaking in Namibia. In South Africa, it is engaged in the manufacturing, packaging, and sale of sorghum malt, beer powder, and instant porridge (which is also exported to Namibia). Additionally, the acquiring group designs and manufactures food processing machinery, produces and sells sorghum seed, and owns various properties within South Africa.

Target undertaking: The target undertaking operates in the import, export, manufacturing, distribution, wholesale, and retail of sugar and related Fast-Moving Consumer Goods (FMCG).

Relevant market: Defined as the sale of fast-moving consumer goods in Namibia.

Merger Determination

The Commission found the proposed transaction unlikely to result in the prevention or substantial lessening of competition or result in any undertaking to acquire or strengthen a dominant position in the market and did not raise any public interest concerns.

However, as stated under section 50 of the Act, this approval does not relieve parties from complying with any other mandatory statutory approvals that any of the parties to this merger must comply with under Namibian laws.