Vivo Group’s Likely Acquisition of Engen Limited Seeks COMESA’s Scrutiny

In a move that could have significant implications for the fuel market in Mauritius, the Competition Commission has decided to seek the opinion of the Common Market for Eastern and Southern Africa (COMESA) on the potential acquisition of Engen Limited in South Africa by Vivo Group, through Vitol Emerald Bidco (Pty) Limited.

This decision followed the revelation that Vivo Group already owns Shell service stations in the region.

According to a statement released by the Commission on May 23, the acquisition of Engen Limited in South Africa would necessitate the sale of Engen Mauritius to an independent buyer.

This is in order to maintain the number of operators in the market at four, as required by the Competition Act.

The parties involved have committed to selling Engen Mauritius to an independent buyer.

The sale would include all ongoing operations of Engen Mauritius, including the supply of diesel and Mogas for commercial and retail use, aviation fuel, marine diesel, and heavy fuel oil for ships.

The Competition Commission has authorized Vivo Group to acquire seven service stations from Engen Mauritius and certain commercial contracts, expecting no significant effects on competition in Mauritius.

The new buyer of Engen Mauritius will therefore take over 30 of the 37 service stations currently owned by Engen Mauritius.

Source: Defi Media