Oceana, Foodcorp merger to be heard by Competition Tribunal
The proposed merger between fishing company Oceana Group and South African food company Foodcorp’s fishing business, which consists of pelagic, hake and lobster divisions, would next week be considered by the Competition Tribunal, as the merging firms did not agree with the merger conditions prescribed by the Competition Commission when it approved the transaction in October.
Oceana owned the Lucky Star brand of canned fish, while Foodcorp owned the Glenryck brand. Together these firms would be dominant in the market for the sale of canned fish.
During its investigation, the Competition Commission found that the deal would substantially lessen competition in the market for the sale of canned pilchards and, therefore, decided that Foodcorp should sell off the Glenryck trademark as well as its fishing rights with respect to small pelagic fish, being pilchards and anchovies, allocated by the Department of Agriculture, Fisheries and Forestry, to maintain competition in the market.
However, Oceana and Foodcorp did not believe the conditions imposed by the commission to be necessary to address any potential anticompetitiveness arising from the deal.
Instead, the merging parties argued that any anticompetitive effects would be adequately addressed by a condition allowing Foodcorp to retain the Glenryck trademark and, should it wish to sell this trademark to a third party in future, requiring Foodcorp to notify the commission of the proposed purchaser and of the proposed transaction should the Competition Act require this.
Further, according to the merging firms, there would be no commercial basis for Oceana to proceed with this transaction on the conditions imposed by the Commission.
The tribunal would hear this merger over three days and expected testimony from seven witnesses. Once the matter has been heard, the tribunal would decide whether to approve the merger, approve it with conditions or prohibit the merger outright.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
M and J Mining are leading suppliers of physical support systems as used by the underground mining industry. Our selection of products are not...
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
