Tribunal approves Premier's buyout of Mister Sweet, with conditions

6th May 2021 By: Schalk Burger - Creamer Media Senior Deputy Editor

The Competition Tribunal has approved the acquisition by consumer goods manufacturer Premier of confectionery manufacturer Mister Sweet with the condition that it fill vacated nonexecutive roles with the 19 employees facing retrenchment.

The merger parties had previously agreed to a moratorium on the retrenchment of 19 nonexecutive employees for a period of 24 months after the merger implementation date.

In terms of the conditions, the total number of potential retrenchments is limited to six employees.

The Tribunal approved the merger on the condition that, should vacancies become available owing to resignation or natural attrition during the 24-month moratorium period, Premier will endeavour to fill the vacancies from the 19 nonexecutive employees who would otherwise be retrenched after the 24-month moratorium.

The Competition Commission recommended the approval of the transaction on the basis that it is unlikely to substantially prevent or lessen competition in the national market for the manufacture and supply of sugar-based confectionery products.