COMPETITION TRIBUNAL OF SOUTH AFRICA
								Case NO: 35/LM/Apr08
In the matter between
Investec Bank Ltd 						Primary Acquiring firm
And
Clidet No. 808 (Pty) Ltd					Primary Target Firm
Panel	: Y Carrim (Tribunal member); D Lewis (Tribunal member) and N Manoim (Tribunal member)
Heard on 		: 18 June 2008
Decided on		: 18 June 2008
Reasons Issued	: 04 September 2008
Reasons for decision
Approval
[1]	On 18 June 2008 the Competition Tribunal issued a Merger Clearance Certificate approving a merger between Investec Bank Ltd and Clidet No. 808 (Pty) Ltd unconditionally. The reasons appear below.
Parties
 [2]	The primary acquiring firm is Investec Bank Ltd (“Investec”), a public company listed on the JSE Securities Exchange. Investec is controlled by Investec Ltd (“Investec Ltd”).
 [3]	The primary target firm is Clidet No. 808 (Pty) Ltd (“Clidet”). Clidet is a new company established under the company laws of the Republic of South Africa for the purpose of the instant transaction. Clidet is a wholly owned subsidiary of African Revival Holdings (Pty) Ltd (“African Revival”). African Revival is a wholly owned subsidiary of Dr. Maqetuka.
Transaction 
[4]	In terms of the structure of the transaction, Investec intends to acquire 30% shares with minority protection rights in Clidet. As a condition precedent to this acquisition and as a restructuring of certain investments held by Dr. Maqetuka in his personal capacity, African Revival, an entity solely controlled by Dr. Maqetuka, will acquire Dr. Matequka’s interests in the following firms: Innovative Sanitary Solution, Nsele, Vital Distribution, Siyahamba Engineering, Isitali Consortium, Mateqs, Zoza and Clidet 779. 
[5]	Following this acquisition, Clidet will then acquire from African Revival an interest in the above firms according to the following proportions: Innovative Sanitary Solution (50%), Nsele (25%), Vital Distribution (15%), Siyahamba Engineering (36%), Isitali Consortium (10%), Mateqs (100%), Zoza (50%) and Clidet 779 (100%). 
Rationale 
[6]	Investec submits that it sees Clidet’s BEE platform as a strength from which it would grow its investment exposure in the broader infrastructure sector and related industries such as transport, rail and power. 
[7]	From Dr. Matequka’s perspective, the transaction will enable him to further develop his business interest in the infrastructure sector where a number of pipeline opportunities have arisen.

Parties Activities
[8]	The Investec group is an international, specialist banking group that provides a diverse range of financial products and services to a niche client base. Investec’s principal business is divided into investment banking, treasury and specialised finance, private client banking, portfolio management and stock broking as well as asset management.
 [9]	Clidet is an investment holding company which does not offer products or services.  It hold interests in firms involved in plumbing, telecommunications, steel merchant, steel scaffolding and engineering. 
Competition analyses
[10]	There is no overlap between the activities of the merging parties as Investec is not active in the sectors in which Clidet has investments. 
Public interest
[11]	The transaction does not give rise to any public interest issues and is accordingly approved without conditions. 

___________________ 						 04 September 2008 
Y Carrim								             Date
Tribunal Member
 Concurring: D Lewis and N Manoim 

Tribunal Researcher	:  I Selaledi
For the merging parties	:  Cliffe Dekker Inc.
For the Commission		: Thabelo Ravhugoni (Mergers & Acquisitions)