Internet Solutions' acquisition of Mweb to go ahead
The Competition Commission has recommended to the Competition Tribunal that the acquisition of MWEB by Internet Solutions – a subsidiary of Dimension Data – be allowed to proceed. The deal was first announced on 2 December 2016.
According to Saki Missaikos, MD of Internet Solutions, MWEB will run as a separate entity, should the acquisition be approved. He said:
"MWEB is one of South Africa's largest consumer ISPs and this acquisition will immediately give Internet Solutions a presence in the large and rapidly-growing consumer market."
The Commission found that the proposed transaction is unlikely to substantially prevent or lessen competition in any market. It has however said that in the event that the merging companies need to retrench staff, they must follow the applicable Labour Relations Act processes.