Competition Commission in favour of Tegeta’s move to acquire Optimum Coal
by Paul Burkhardt,
2016-02-11 15:27:59.0
THE Competition Commission has recommended the approval of Tegeta Exploration and Resources’ acquisition of the Optimum colliery and six other units.
Tegeta is owned by the Gupta family and President Jacob Zuma’s son,
The antitrust body proposed that the "transaction be approved on condition that the merging parties will not retrench any employees of the target firms." it said.
Glencore placed Optimum Coal in business rescue, a form of bankruptcy protection, because it was running at a loss and Eskom refused to ease the terms of a supply contract to the Hendrina power plant.
Tegeta is owned by Mabengela Investments and the Gupta family’s Oakbay Investments, which controls Oakbay Resources & Energy, according to the statement. Mabengela, in which Mr Zuma’s son Duduzane has a stake, also has a stake in the Shiva Uranium operation, which the Gupta family controls through Oakbay Resources.
Department of Mineral Resources spokesman Martin Madlala did not immediately respond to a message seeking comment.
Duduzane Zuma and Gupta family members are directors of at least 11 of the same companies, publicly available documents show.
Mineral Resources Minister Mosebenzi Zwane met Glencore CEO Ivan Glasenburg in Switzerland to advance the deal, he said in a February 8 interview.
Mr Zwane denied giving Tegeta any preferential treatment, saying he was only trying to preserve jobs.
Bloomberg
An Optimum Coal colliery. Picture: FINANCIAL MAIL
THE Competition Commission has recommended the approval of Tegeta Exploration and Resources’ acquisition of the Optimum colliery and six other units.
Tegeta is owned by the Gupta family and President Jacob Zuma’s son,
The antitrust body proposed that the "transaction be approved on condition that the merging parties will not retrench any employees of the target firms." it said.
Glencore placed Optimum Coal in business rescue, a form of bankruptcy protection, because it was running at a loss and Eskom refused to ease the terms of a supply contract to the Hendrina power plant.
Tegeta is owned by Mabengela Investments and the Gupta family’s Oakbay Investments, which controls Oakbay Resources & Energy, according to the statement. Mabengela, in which Mr Zuma’s son Duduzane has a stake, also has a stake in the Shiva Uranium operation, which the Gupta family controls through Oakbay Resources.
Department of Mineral Resources spokesman Martin Madlala did not immediately respond to a message seeking comment.
Duduzane Zuma and Gupta family members are directors of at least 11 of the same companies, publicly available documents show.
Mineral Resources Minister Mosebenzi Zwane met Glencore CEO Ivan Glasenburg in Switzerland to advance the deal, he said in a February 8 interview.
Mr Zwane denied giving Tegeta any preferential treatment, saying he was only trying to preserve jobs.
Bloomberg
Change: 1.26%
Change: 1.15%
Change: 1.85%
Change: 0.67%
Change: 2.66%
Data supplied by Profile Data
Change: 0.58%
Change: 0.43%
Change: 1.26%
Change: 0.00%
Change: 0.56%
Data supplied by Profile Data
Change: 0.12%
Change: 0.10%
Change: 0.42%
Change: 0.87%
Change: 1.08%
Data supplied by Profile Data
Change: -0.20%
Change: 0.20%
Change: -0.06%
Change: -0.17%
Change: 0.67%
Data supplied by Profile Data