Description of Activities

Description of transaction: The Commission resolved to approve with conditions the acquisition by Osino Property Holdings of entire shares in DC Bona Farming (Proprietary) Ltd. 

Acquiring group: The primary acquiring undertaking is Osino Property Holdings. The acquiring group is involved in exploration work, invest in properties, shares, securities, equities of any kind, export, import and market, and act as agents and/or managers, to engage in farming, transportation, logistics, information technology (IT), mining, exploration, engineering and any activity that may seem conducive to business.

Target undertaking: The primary target undertaking, DC Bona Farming (Proprietary) Ltd., owns an immovable property (farmland) that is currently not occupied.

Relevant market: The Secretariat defined the relevant market as the market for the exploration of minerals, mining, and sales of gold in Namibia. 

Merger Determination

The Commission found the proposed transaction unlikely to result in the prevention or substantial lessening of competition; does not result in any undertaking acquiring or strengthening a dominant position in any market.  However, the transaction does pose public interest concerns in that farmland which could be used for agricultural purposes will be used as a security buffer during the life of the mine for equipment which will be used in the farm where mining is taking place. This land is lost to agriculture. Therefore, given that the farm is being acquired for security reasons only and no mining activities will take place on the farms, and given scarcity of farmland among Namibians for agricultural purposes. Thus, the Commission approved the merger subject on condition that after the life of the mine, the Government of the Republic of Namibia be given the right of first refusal to buy the farm.