Namibian Competition Commission blocks sale of Ohorongo Cement to West China Cement

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Namibia: The Namibian Competition Commission has blocked the sale of Ohorongo Cement to China-based West China Cement on the grounds that it would ‘substantially’ reduce competition in the cement market. It warned that it could lead to coordination between Ohorongo Cement and Whale Rock Cement. The commission added that, “no concrete benefit would outweigh the detrimental effects that will result from the implementation of the proposed merger”.

West China Cement agreed to buy a majority stake in the cement company for US$104m from Germany-based Schwenk Zement subsidiary Schwenk Namibia in January 2020. Previously, Singaporean authorities stopped the sale of Schwenk Namibia to Singaporean-based International Cement Group (ICG) in September 2019 due to the latter’s inability to cover the losses of the Namibian company.

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URL: https://www.globalcement.com/news/item/11180-namibian-competition-commission-blocks-sale-of-ohorongo-cement-to-west-china-cement

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