SA and Namibian authorities approve Actis / Tekkie Town merger
The Competition Tribunal and the Namibian Competition Commission (NaCC) have both unconditionally approved a merger involving Actis and Tekkie Town (Pty) Ltd (Tekkie Town).
Actis 4 PCC, the primary acquiring firm, is a special purpose vehicle company incorporated under the laws of Mauritius. It is a newly incorporated company established specifically for the purpose of the proposed transaction and does not provide any products or services. Actis 4 PCC is a wholly-owned subsidiary of the Actis group, a global private equity investor. It manages capital on behalf of investors and invests in established private businesses.
The target firm is Tekkie Town, a sport and lifestyle shoe chain store that has approximately 250 stores located in South Africa and 10 stores in Namibia. Tekkie Town sells leisure, school, fashion and sports footwear at the retail level to the general public. It also sells footwear online.
In terms of the proposed transaction Actis will acquire 42.5% of the issued share capital of Tekkie Town, minority rights and joint control over Tekkie Town.
Both authorities found that there were no overlaps between the activities of the merger parties and as such found that the proposed transaction was unlikely to raise competition law concerns. The proposed transaction also raised no public interest concerns in either jurisdiction. Accordingly, the Tribunal and the NaCC both unconditionally approved the merger.