Description of Activities

The Commission resolved to approve with conditions the acquisition by Terminal Investment (Namibia) Pty Ltd of the management, control, operation, and maintenance of the New Container Terminal from the Namibian Ports Authority (“NAMPORT”) for a period of 25 (Twenty-five) years. 

The primary acquiring undertaking is Terminal Investment (Namibia) (Pty) Ltd a wholly owned subsidiary of Terminal Investment Sarl Limited, Terminal Investment Sarl is in turn indirectly controlled by MSC Mediterranean Shipping Company Holding SA (MSC Group). The Acquiring Group has a presence in Namibia through MSC which is engaged in the transport and logistics sector and in Namibia provides limited deep-sea container liner shipping services including dry and reefer cargo. Further, the acquiring group is present in Namibia through Africa Global logistics (formally Bolloré Africa Logistics), which provides freight forwarding services, specifically air and sea freight forwarding and contract logistics as well as customs clearance operations. Lastly, the acquiring group is active in Namibia via Mediclinic, which operates three hospitals located in Windhoek, Swakopmund, and Otjiwarongo.

 The primary target undertaking is the New Container Terminal, which is owned by NAMPORT. The New Container Terminal is a 40-hectare piece of land part of the Port of Walvis Bay. The services provided by the New Container Terminal are container terminal services which include, transfer of shipping containers and cargo, loading and unloading, temporary storage of containers, reefer management and power supply, consolidation and deconsolidation of cargo.

The Secretariat defines the market as, the upstream market for container terminal services and the downstream market for deep-sea container liner shipping services

Merger Determination

The Commission found the proposed transaction unlikely to result in the prevention or substantial lessening of competition but will result in the acquiring undertaking acquiring a dominant position in the upstream market for the provision of container terminal services and raise public interest concerns, particularly regarding employment. Thus, the Commission approved the merger subject to Fair Pricing and Non-Discrimination; Protection of Commercially Sensitive Information; Turnaround Times; Equal Service Levels; and Employment conditions.

However, as stated under section 50 of the Act, this approval does not relieve parties from complying with any other mandatory statutory approvals that any of the parties to this merger must comply with under Namibian Laws.