Comesa watchdog bags Sh10bn from mergers and acqusitions
The Coca-cola Preform Manufacturing Plant along Kangundo Road, Nairobi County in this picture on March 19, 2023. Top mergers in Kenya for the Comesa Competition Commission include an acquisition by the Coca-Cola Company of Almasi Beverages Limited. PHOTO | DENNIS ONSONGO | NMG
The Comesa Competition Commission (CCC) has earned over Sh10 billion in revenue from mergers and acquisitions since its inception, highlighting the increased number of deals across the region.
The commission, which will be celebrating its 10-year anniversary this week in Malawi, says it has handled a total of 369 mergers in the last decade.
The post-Covid-19 period recorded the highest number of mergers with over 60 firms having filed notification for either merging or acquisition.
“The 2022 period saw CCC record the highest number of notified mergers since inception at 61 compared to an average of 36 pre-Covid,” said Sandya Booluck, senior analyst for mergers and acquisitions at CCC.
The commission normally generates its revenue when parties that want to join file for merger notification as well as fines imposed on firms that fail to notify their intention to merge.
Top mergers in Kenya include a joint venture involving SAS Shipping Agencies, Kenya Ports Authority and Kenya National Shipping Lines Limited, and an acquisition by the Coca-Cola Company of Almasi Beverages Limited.
Others include SAS Shipping Agencies Services (a subsidiary of Mediterranean Shipping Company) acquisition of Bollore Africa Logistics and the acquisition by Mambo Retail Ltd of Naivas International.
Half of the funds collected by the CCC go to 20 member states to strengthen their capacity building and boost their budgets.
The energy sector had the lion’s share of mergers at 18 percent followed by the banking and insurance industry at 15 percent and then agriculture at 13 percent, according to the CCC.
