Commission recommends transaction by Blue Falcon to acquire Target
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DURBAN - THE COMPETITION Commission yesterday put a recommendation to the Competition Tribunal to conditionally approve the proposed transaction whereby Blue Falcon intends to acquire the Target Business.
The commission said the transaction was unlikely to result in a substantial prevention or lessening of competition in any relevant markets. However, the commission recommended that the proposed transaction be approved with certain conditions attached to remedy public interest concerns likely to arise from the merger.
“Blue Falcon shall not retrench any employees in South Africa as a result of the merger for a period of 24 months from the implementation date,” the commission said.
The commission also recommended that for a period of 24 months from the implementation date, Pepkor Speciality and the Blue Falcon should give preference to the affected employees suitably qualified for the relevant position in respect of available positions and when job opportunities arise at John Craig or Pepkor Speciality.
The Target Business sells men’s apparel and it owns an in-house label, Muratti. John Craig is a segment of Pepkor Holdings. Blue Falcon group is an independent retailer specialising in sports-lifestyle clothing apparel and it sells international sporting, leisure and lifestyle throughout sub-Saharan Africa.