The Competition Commission announced that the proposed acquisition of Cell C assets by Gatsby SPV has been conditionally approved.
“The Commission has recommended to the Competition Tribunal to conditionally approve the proposed transaction in which Gatsby SPV intends to acquire certain assets of the mobile network operator, Cell C,” the Commission in an official statement.
Weekly Media Statement : @CompComSA gives #CellC deal a conditional approval pic.twitter.com/LjfWtDAlvs
— CompComSA (@CompComSA) May 21, 2020
“The Commission found that the proposed transaction is unlikely to result in a substantial prevention or lessening of competition in any relevant markets – further found that the proposed transaction does not raise any other public interest concerns,” the continues Commission.
“These concerns were not considered in the assessment of the proposed transaction because the trustees have not yet been appointed.”
Cell C says that it is pleased that the Competition Commission has given conditional approval of the proposed recapitalisation transaction – and that this is an important step towards concluding a complex restructuring for the mobile operator.
Despite this approval, Cell C says that it remains cautiously optimistic until the deal has been fully concluded and all requirements have been met.
“A recapitalisation is an important pillar of Cell C’s turnaround strategy,” says Douglas Craigie Stevenson, Cell C CEO.
“We are being diligent and thorough to ensure it is a transaction that meets all conditions and continue to engage with all stakeholders. In our minds, it is not done and there is still work to do, but we are pleased with the progress to date.”
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