The Competition Tribunal yesterday approved Bytes Technology's buyout of Unisys Africa.
The Competition Commission recommended the merger go ahead without conditions, as it was not likely to raise competition concerns.
Bytes, a wholly-owned Altron subsidiary, said in January it would purchase Unisys Africa from Unisys and CyberKnowledge Systems Investments, a local empowerment company, for an undisclosed sum. As part of the deal, Unisys and Bytes will enter into a five-year distributor agreement.
The commission found there was a horizontal overlap between Bytes and Unisys in the systems integration services; cheque processing; maintenance, support and upgrade services; and managed services areas.
A vertical overlap also exists where Bytes SA provides licences and maintenance services to Unisys Africa, says the commission. However, its investigation showed that, post merger, these overlaps do not pose a competitive threat.
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