CompCom Race Requirements for Mergers and Aquisitions

The Competition Commission has published guidelines for the application of section 12A of the Competition Act, in terms of which the Commission openly insists that parties to major transactions must promote BEE and other transformational measures as a condition for permitting the transaction to go ahead. Sakeliga is preparing to litigate against the guidelines, as well as the Constitutionality of section 12A of the Competition Act, which for the first time introduces requirements in competition law that have nothing to do with market investigations, but rather open the door for arbitrary political requirements.