State-funded Competition and Fair Trading Commission (CFTC) has given a go-ahead to Go Fresh Limited to acquire Kapani Prime Poultry and Mchezi Abattoir business.
CFTC Acting Executive Director Apoche Itimu told reporters in Lilongwe on Thursday that the Commission received an application for authorization of acquisition of poultry production and processing business of food and feed wholesalers under Kapani Enterprises.
CFTC Acting Executive Director, Apoche Itimu announcing the acquisition of Kapani Enterprises by Go Fresh Limited
“We established that the Kapani Poultry business was falling and so the acquisition would save the firm,” she said.
Itimu said the combined market shares for the emerging entities, Go Fresh and Kapani would be nine percent.
“This implies that the transaction on its own will not change the structure of the market or create a dominant player.”
Go Fresh is affiliated to Central Poultry therefore the proposed transaction would lead to accumulation of 58 percent of market shares by Central Poultry, she said.
The poultry industry in Malawi is controlled by Central Poultry with around 49 per cent.
