Merger Filing Fees – Amendment to Rule 10(5) of the Competition Commission Rules

7 December 2018|In Competition Briefs eBriefs News and Media NortonsInc Uncategorized

Merger Filing Fees – Amendment to Rule 10(5) of the Competition Commission Rules

On 4 December 2018, the Department of Economic Development promulgated an amendment to the filing fees applicable to intermediate and large mergers, effective 1 January 2019.  These amended filing fees, compared with those currently in force, are set out below:

Current – until 31 December 2018

Effective 1 January 2019

Intermediate Merger

ZAR 150 000.00

ZAR 165 000.00

Large Merger

ZAR 500 000.00

ZAR 550 000.00

Source: Government Gazette No. 42082, Notice 1336 (4 December 2018)

For the sake of completeness, an intermediate merger is one where the value of the proposed merger equals or exceeds ZAR 600 million (calculated by either combining the annual turnover of both firms or their assets), and the annual turnover or asset value of the target firm is at least ZAR 100 million.

A large merger is one where the combined annual turnover or assets of both the acquiring and target firms are valued at or above ZAR 6.6 billion, and the annual turnover or asset value of the target firm is at least ZAR 190 million.