SA’s competition authorities have given Alexforbes the green light to acquire Sanlam’s stand-alone retirement fund administration business in a deal worth R154m that was first announced in December.
The approval by the Competition Tribunal followed conditional recommendations made by the Competition Commission earlier in August.
The commission found that the proposed transaction was unlikely to result in a substantial prevention or lessening of competition. However, it found that there could be potential job losses as a result.
To remedy those concerns, the competition watchdog recommended that the merging parties not retrench employees for at least two years following the merger.
Alexforbes is SA’s largest pension fund administrator while Sanlam is Africa’s largest insurance group.
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