On 10 July 2012 the Competition Commission (Commission)
unconditionally approved the transaction between MOGS (Proprietary)
Limited (MOGS) and A&R Engineering and Mining Supplies
(Proprietary) Limited (A&R Engineering) and Lamp Room Solutions
and Consulting (Proprietary) Limited (LSC).
MOGS, the acquiring firm, applied for approval for its acquisition
of A&R Engineering and LSC. MOGS is involved in the provision
of pipeline rehabilitation, intervention and maintenance services.
A&R Engineering supplies products and services for underground
and surface transportation and monitoring systems; and also
remanufactures and repairs existing equipment. LSC is involved in
the maintenance of underground lamp rooms in mines and embedded QT
developments.
The Commission found that the transaction would not give rise to
competition concerns from a horizontal perspective as MOGS and its
subsidiaries do not supply overlapping products. The Commission
found some vertical aspects to the transaction, but found that
these exist in areas where the supply is minimal and is therefore
unlikely to result in foreclosure concerns. It also found that the
transaction did not raise any public interest concerns.
The Commission accordingly approved the transaction without
conditions.
Webber Wentzel acted for the merging parties.
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