An essential element of any merger and acquisition
transaction, and the conduct of business generally, is compliance with domestic
and/ or international competition law. We act for national and international
listed and unlisted corporate and institutional clients who are active in a
diverse range of sectors, including banking, beverages, automotive, gas,
oil, mining, healthcare, airlines and telecommunications.
Senior members of our Competition team have appreciable
experience in related areas of business law practice, particularly
mergers and acquisitions and
litigation.
We have successfully represented clients in all local
competition law forums, including the South African Supreme Court of
Appeal.
In association with DLA Piper, we offer a Rapid Response
hotline aimed solely at handling crises and major incidents relating to
"dawn raids" (surprise search and seizure operations) an investigative tool
which has gained increased utilisation by the Competition Commission recently.
The hotline is available 24 hours a day every day of the year on
a toll-free basis by dialing 0800 980 623.
Cliffe Dekker Hofmeyr remains at the forefront of developments,
particularly in the face of a number of proposed amendments to legislation and
policy which are expected to be implemented in 2008.
Our Competition practice has extensive experience in all of the
legal requirements associated with obtaining merger clearance and has successfully represented
clients in many high-profile transactions. We have also been involved in a
number of landmark cases dealing with restrictive practices (complaints
regarding anti-competitive conduct).
Our comprehensive service offering encompasses every aspect of
competition law practice including:
- providing opinions in respect of merger related, prohibited
practice or exemption questions
- preparing merger notification documents and representation at
merger hearings
- initiating and advising in respect of complaint proceedings
before the Competition Authorities
- defending clients in complaint proceedings
- initiating and defending interim relief proceedings before
the Competition Tribunal
- applications for exemption
- applications for corporate leniency
- assisting with 'dawn raids' by the Competition
Commission
Recent matters we have been involved in include:
Restrictive Practices
- We represented Harmony Gold Mining Company in a
long-standing excessive pricing complaint against ArcelorMittal South Africa in
which the Tribunal ruled against ArcelorMittal. The decision is a first of its
kind in South Africa and resulted in a fine of almost R700 million imposed on
Mittal, 15 times the previous record for a fine imposed by the Tribunal. We
continue to be involved as Mittal has lodged an appeal.
- We successfully defended Independent Newspapers against
allegations of abuse of dominance brought by a competitor in the Zulu newspaper
publishing market.
- We acted for MWEB, lodging complaint proceedings including
an application for interim relief against Telkom for alleged abuse of dominance
affecting the internet service provider market.
- We are representing Parmalat in regard to the Commission's
referral of a complaint to the Tribunal in respect of an alleged milk
cartel.
- We assisted the Payments Association of South Africa (PASA)
before the Commission's epic banking enquiry.
Mergers
- We obtained merger clearance in respect of Foodcorp's R1.2
billion acquisition of First Lifestyle as well as Foodcorp's joint venture with
Premier Fishing (despite it reducing the number of competitors in the market
from three to two).
- Acted for Business Connexion, which was the target of a
proposed takeover by Telkom, in one of the most complex merger hearings yet to
come before the Tribunal.
- Advised Tourvest in the notification of its acquisition of
the Drifters Group.
- Successfully negotiated conditions for the approval of a
merger between Afrimat Limited and Malan's Quarries following a finding by the
Competition Commission that the merger would be anti-competitive.
- Acted for LionOre in its proposed acquisition by Xstrata,
which triggered a hostile take-over by Norilsk.
- Successfully obtained clearance for the merger between
African Bank and Ellerines.
We have extensive experience and knowledge in the following
fields of competition:
- Competition Related Legislation and Policies
- Competition Compliance - Merger Control
- Prohibited Practices
- Corporate Leniency Policy
- Confidentiality
- Fees Payable to the Competition Commission
- Compliance
