The Competition Commission has recommended that the proposed merger between Tegeta Exploration and Resources (Pty) Ltd (Tegeta) and Optimum Coal Mine (Pty) Ltd (OCM) be approved with conditions.
Tegeta is owned by Oakbay Investments (Pty) Ltd (http://www.Oakbay.co.za) and Mabengela Investments (Pty) Ltd. OCM is controlled by Optimum Coal Holdings (Pty) Ltd (OCH). Both OCM and OCH are in business rescue.
Nazeem Howa, Chief Executive of Oakbay Investments, said: “The Competition Commission’s recommendation that this deal is approved is good news for all of Optimum’s employees. As the Commission’s recommendation states, the transaction will not substantially prevent or lessen competition in the thermal coal market.
"I would also like to take this opportunity to restate our commitment to the future success of the business and to its employees. Through this acquisition we have prevented a liquidation that would have seen 3,000 people lose their jobs.”
