Description of Activities

The Commission resolved to approve with conditions the acquisition by Mr. Robert Schmid (“Mr Schmid”) of all shares, claims, and sales interest of Kassandara (Proprietary) Limited (“Kassandara”) and of the entire membership interest, and claims belonging to Rostock Desert Lodge CC (“Rostock Lodge”) and Rostock Property Investment CC (“Rostock Property Investment”). 

The primary acquiring undertaking is Harlow Investments (Pty) Ltd (“Harlow”), a Namibian registered company that is acting as a Special Purpose Vehicle (SPV) for the proposed merger. Harlow is controlled by Mr. Robert Schmid, a natural person, who is also the primary acquiring undertaking for Rostock Lodge and Rostock Property Investment. The acquiring group has business interest in shoes and textile retail stores, and is involved in the sale, rental, and leasing of real estate of all kinds in Germany. In Namibia, the acquiring group owns a property at Eros Hanger used for the parking of aircrafts and holds member’s interest in P.N. Boutique – Air Safaris CC which is currently dormant.

 The primary target undertakings are Kassandara, Rostock Desert Lodge CC and Rostock Property Investment CC. Kassandara’s business activities encompass game farming and trophy hunting, and it owns the remaining portion of Farm Kassandara No. 40, which includes a lodge located on the farm. Rostock Lodge is involved in tourism and related activities, while Rostock Property Investment focuses on property investment. It owns the following immovable properties: Portion 1 of Farm Rostock South No. 414, Portion 2 of Farm Rostock South No. 414, and the remainder of Farm Rostock South No. 414, where a lodge is situated. 

The Secretariat defined the product market as the market for the ownership of commercial land.

Merger Determination

The Commission has found the proposed transaction unlikely to result in the prevention or substantial lessening of competition; does not result in any undertaking acquiring or strengthening a dominant position in any market. However, the proposed merger does raise public interest concerns, especially employment and the attainment of approval from the Minister of Agriculture, Water and Land Reform. Thus, the Commission approved the merger subject to employment conditions and an attainment of approval from the Minister of Agriculture, Water and Land Reform as per Section 58 of the Agricultural (Commercial) Land Reform Act, 1995 (Act No.6 of 1995).

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