The Competition Act 2007 (the ‘Act’) provides for the control of merger situations by the Competition Commission. Where a merger situation is likely to result in substantial lessening of competition in any market in Mauritius, the Competition Commission is empowered to impose directions to remedy the situation, including directions to block the merger or to require divestment of assets.
Merger situation has a wide meaning under the Act and covers various forms of mergers and acquisitions. Although most mergers and acquisitions are not harmful, the Competition Commission scrutinizes such transactions to identify and remedy those transactions which can harm competition.
Parties may also seek the guidance of the Competition Commission on whether the merger situation is likely to result in substantial lessening of competition to ensure that the transaction is in conformity with the Act. Indeed, the Competition Commission encourages such application for guidance as it provides certainty to the deal and avoid costly post-merger remedies.
For more information on the Act and guidelines pertaining to merger control:
- The Competition Act 2007
- Guidelines on market definition
- Guidelines on mergers (Amended 3rd August 2020)
- Explanatory note on Amended Guidelines
- Guidelines on remedies and penalties
Applying for the guidance of the Competition Commission
Section 47 of the Act offers enterprises which are parties to a merger situation the opportunity to seek the guidance of the Competition Commission.
More information on the applications for guidance can be obtained from here.