CompCom recommends approval of MTN, Afrihost deal

Mergers, Acquisitions and Financial Results

South Africa’s Competition Commission (CompCom) has recommended to the country’s Competition Tribunal the unconditional approval of MTN South Africa’s proposed acquisition of internet service provider (ISP) Afrihost, TechCentral reports.

The authority disclosed that no conditions should be imposed on the deal as ‘MTN and Afrihost do not appear to be direct competitor. In both the ADSL and mobile data markets, it is unlikely the merger will give rise to foreclosure effects which are harmful to [small businesses] and residential customers, given the ability of these customers to easily switch mobile data service providers’.

Source: Telegeography 30 October 2014