COMESA Competition Commission (CCC), established by the Competition Regulations of COMESA ("Rules")which is responsible for promoting competition in the common market, published its guidelines on the application of the Regulation in order to "Provide guidance to the parties to contemplating or in the process of merging Within the Common Market.
Under the regulations, the CCC "may, as regards trade between Member States, monitor, investigate, detect, conclusions or take steps to prevent hitting ban and / or penalize companies whose activities trade substantially restrict competition in the common market "(Article 8 of the Regulations). In this context, this article requires that the proposed merger with a regional dimension having a value equal to or over a certain threshold are to be reported to CCC .
CCC makes mandatory reporting of certain of concentrations under the competition rules of the COMESA.
The guidelines adopted specifies the application conditions of the CCC Regulation including:
- the scope of the Regulation;
- the definition of the merger;
- the conditions for a joint venture is considered a merger;
- statements of internal restructuring is not mandatory.
The guidelines specify which mergers are subject to the notification requirement. It indicates that regarding the Regulation, acquisitive company and the target company or one of them must have in one or more operating activities in the Member States of COMESA but species that it applies only to companies with a turnover of more than 5 million USD value.
In addition, the guidelines state that the merger will not have to be notified if the target company has no activity in the Member States and if more than 2/3 of the annual turnover in the Common Market of Each of the merging parties is Achieved or Held within one and same Member State.