Windhoek: The Namibian Competition Commission (NaCC) has urged businesses to adhere to merger regulations as outlined in Competition Act No. 2 of 2003. NaCC spokesperson Dina //Gowases, in a press release, emphasized the importance of businesses notifying the commission if their combined asset value or turnover exceeds N. dollars 30 million and the target entity’s value or turnover exceeds N. dollars 15 million.

According to Namibia Press Agency, failing to notify the NaCC or proceeding with a merger without approval constitutes a breach of the law and can lead to significant penalties or legal action. Dina //Gowases highlighted that non-compliance undermines the objectives of the Act, affecting the commission’s ability to assess the impact of mergers on competition and public interest.

She noted that non-compliance could include implementing unapproved mergers, disregarding conditions, or providing incorrect information. In such instances, the commission may apply to the High Court for an interdict, order divestitures, declare agreements void, or request penalties of up to 10 per cent of a firm’s global turnover.

‘Approval by the commission does not exempt a business from other legal obligations or court requirements,’ she stated. She further explained that conditions attached to merger approvals might include structural changes such as asset sales, or behavioural requirements such as pricing rules and job retention.

The commission also encouraged businesses to engage with it regarding any proposed changes and to seek clarity where necessary, emphasizing that compliance helps maintain a competitive market and protects consumers.