Burger King Deal: Commission pulls the plug

Langa Madonko, a board member of The South African Venture Capital and Private Equity Association speaks to #eNCA about the Competition Commission's unprecedented decision last week. #eNCA Courtesy #DStv403

JOHANNESBURG - The fallout from last week's decision by the Competition Commission to block a transaction involving the sale of Burger King South Africa continues.

The commission explained the Black Empowerment credentials of the buyer, Emerging Capital Partners, were not good enough.

It said regardless of the assessment on competition, legislation required the commission to determine whether or not a transaction can be justified on public interest grounds.

But the country's corporate and investment community is up in arms.

The Southern African Venture Capital and Private Equity Association says while it supports transformation, it disagrees with the deal being blocked.

Source
eNCA

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