Naspers’s WeBuyCars deal may be blocked
A unit of the internet and media group, which owns OLX and the AutoTrader platform, wants to buy 60% of WeBuyCars
The Competition Commission says Naspers’s acquisition of local vehicle-purchasing service WeBuyCars should be blocked as it could lead to higher used-car prices in SA. The commission has recommended to the Competition Tribunal that the deal be “prohibited”, it said on Wednesday. A unit of Naspers, which owns the AutoTrader platform and OLX, wants to buy 60% of WeBuyCars. Naspers announced the deal in September 2018, saying it would invest R1.4bn in the company.
“We are very disappointed by the recommendation and respectfully disagree with the commission’s findings,” said Sjoerd Nikkelen, GM of OLX in Africa, the Middle East and Asia.“As a long-term investor in SA, we believe that the transaction, which will bring a R1.4bn investment into the country, will help stimulate the economy and provide more consumers with innovative and convenient models to buy and sell used cars,” Nikkelen said.In the automotive segment, Naspers already has investments in Dubai-based companies Expat ...