THE Competition
Commission has advised
against a R2,1bn deal that
would allow Tsogo Sun to
obtain a 40% stake in Sun
International’s SunWest
and Worcester Casino in
the Western Cape.
The Commission said
in a statement that the
proposed transaction
would be likely to
substantially prevent or
lessen competition in the
relevant market due to
likelihood of co-ordination
between the merging
parties, post-merger.
SunWest operates the
GrandWest Casino and
Entertainment World
(GrandWest) and Grand
Hotel in Goodwood, Cape
Town. Worcester operates
the Golden Valley Casino
and Lodge complex.
Marcel von Aulock,
ceo of Tsogo Sun, told
TNW there would be no
anti-competitive issues
arising from the deal.
“It’s a financial deal for
us, where we are getting
exposure to a gaming
market that we have very
little exposure to at an
attractive price.
“The deal has not been
blocked. The Commission
makes a recommendation
to the Tribunal, which then
holds a hearing and the
Tribunal then makes a
decision on the deal. The
hearing is scheduled to
start on April 7
Tsogo’s move to acquire W Cape casino stake halted
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