The Competition Commission has recommended to the Competition Tribunal that Sea Harvest Corporation’s proposed acquisition of certain fishing rights and assets used in operating the fishing business of Vikings Fishing Holdings, be approved with conditions.
The proposed merger, the commission found, does not lead to a substantial lessening of competition.
It pointed out, however, that public company Brimstone Investment Corporation, which controls Sea Harvest, also has a noncontrolling shareholding interest in Oceana, a competitor of Sea Harvest.
There is a risk that, post-merger, competitively sensitive information could be shared between Sea Harvest and Oceana through common shareholder Brimstone, the commission warned.
Therefore, the commission recommended on Wednesday that the tribunal impose conditions that will ensure Brimstone does not appoint the same directors to the boards of Sea Harvest and Oceana.