Africa-Press – Mozambique. The Competition Regulatory Authority (ARC) adopted the decision not to oppose, but to condition, the operation, according to which, Petróleos de Moçambique S.A (Petromoc) intends to exercise its pre-emptive right to acquire 50 percent of the capital shareholding held by BP Moçambique, Limitada (BP Moçambique), in the Maputo International Airport Fuelling Services Limitada (MIAFS), thus gaining control of all shares.
Completion of this operation will change the structure of MIAFS’s share capital, making Petromoc the sole partner, which places it in a dominant position, potentially creating obstacles to free competition, to the extent that a significant part of the aviation fuel storage infrastructure in Maputo will be under the control of a single operator.
Given this situation, ARC instructs Petromoc to transfer 50 percent of its stake in MIAFS, within a period of no more than one year, with the aim of making the aviation fuel storage market less concentrated, leading to more competitive prices and greater choice for operators in the aircraft supply market, with a view to ensuring the maintenance of effective competition.
“The transaction constitutes a horizontal concentration operation subject to prior notification to ARC, in light of the Competition Law,” a note from ARC states.
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