Connect with us

Hi, what are you looking for?

Business

Bopping with potential

Bopping with potential
CCA CHIEF EXECUTIVE OFFICER: Tebelelo Pule

BOP given go ahead to up stake in Bona Life

Botswana Opportunities Partnership (BOP) will be allowed to acquire more shares in Foudello, a company that owns insurance heavyweight’s, Bona Life.

In April, BOP notified the Competition and Consumer Authority (CCA) of its intention to purchase a further 35 percent in Foudello, bringing its total stake in the business to 75 percent.

The move would buy out Capital Management Botswana (CMB) (Pty) Ltd’s 25 percent stake as well as the 10 percent owned by Bona Life Employee Share Incentive.

It would leave Reginah Vaka, with a 25 percent stake, as Foudello’s only other shareholder.

While CMB is currently undergoing liquidation, its shares in Bona Life have already been passed to BOP – represented by its General Partner, Viltry (Pty) Ltd, which in turn is controlled by Botswana Public Officers Pension Fund (BPOPF).

Further, BOP also owns a 50 percent stake in Cell City.

In determining the transaction, CCA Chief Executive Officer, Tebelelo Pule pointed out the deal is not expected to reduce the level of competition in the market under consideration in Botswana.

Advertisement. Scroll to continue reading.

“Therefore, the Authority does not expect the proposed transaction to give rise to any substantial lessening of competition; restrict trade or the provision of services; or to endanger the continuity of supplies in the relevant market in Botswana,” she explained.

Pule said the analysis of the proposed transaction further revealed that the structure of the relevant market will not significantly change post the acquisition, therefore the entity will not attain any dominant position on account of the proposed transaction.

According to Pule, the proposed transaction is not expected to result in a market share accretion of Foudello or any other entity in Botswana.

Further, Pule said in terms of public interest considerations, the Authority does not foresee any detriment to matters of public interest that will arise as the result of the transaction.

Of particular importance, she also highlighted the move is not anticipated to have any adverse effects on employment.

In conclusion, the CCA CEO said assessment of the proposed transaction shows that the adopted restructuring of Bona Life was in the public interest as all other credible options explored would have resulted in severe and irreversible prejudice to the over 600 pensioners of Bona Life and the other Life Assurance Policyholders.

Advertisement. Scroll to continue reading.
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

News

A Covid-19 patient tragically died after an ambulance that was transporting him from Hereford Clinic to Werda Clinic overturned in a gravel road about...

News

• Accuses Brewery of putting profits before Batswana President Mokgweetsi Masisi has responded to Kgalagadi Breweries Limited (KBL) in an urgent case in which...

News

Suspected thief accuses cops of assault A middle-aged man accused of shop breaking and stealing has hit back with accusations of his own, claiming...

Entertainment

Hashtag gains momentum As tension and anxiety reaches their peak, with a staggering 4, 008 Covid-19 positive cases registered in the space of three...

Entertainment

Shaya watched on as savages went for blood. Many of you my dear readers went in hard on the main paper’s front page last...

News

Was apprehended on a suicide mission

News

Man upset with lover for peeing next to his car Furious at his girlfriend for peeing next to his beloved car, a 31-year-old man...

Entertainment

Taking Tabitha to the top In 2013, Florence Manyena called time on her 29-year teaching career. The married mother-of-seven was not lost to the...

News

Judge Kebonang conflicted in the Isaac Kgosi matter-BURS The Botswana Unified Revenue Service (BURS) Acting Commissioner General, Segolo Lekau has made startling allegations against...

Entertainment

Following President Mokgweetsi Masisi’s announcement that a post for Chief of Staff will be created at the Office of the President, many names have...

News

Botswana Democratic Party Youth Executive Committee (NYEC) has joined the chorus of those of people calling against the possible extension of State of Public...

Entertainment

Kealeboga Dihutso (Radio Veteran): One day we’ll know why Prof. Mosepele Mosepele resigned then almost immediately backtracked… Whether he tells us or someone tells...

News

Botswana Congress Party has postponed its weekend elective congress to a later date possibly in September. BCP President, Dumelang Saleshando told the media this...

Politics

Member of Parliament for Mahalapye East, Yandani Boko gave Ministers a lecture on how they should prioritise issues in Parliament. When given the opportunity...

News

Minister of Finance and Economic Development, Peggy Serame says the ministry is reviewing the Special Funds to close existing gaps and avoid misuse. Answering...

Entertainment

Shaya would like to take this moment to congratulate Lepsy of DC Tours on his new set of wheels. I know my congratulations come...

Advertisement

Copyright © TheVoiceBW. (Since1993) made with ❤️ in Botswana.