Competition Act, 1998 (Act No. 89 of 1998)

Notices

Extension of the Conditional Exemption granted to the Marang Africa Healthcare Proprietary Limited

Notice No. 5023 of 2024

Purchase

Notice No. 5023

5 July 2024

GG 50903

Department of Trade, Industry and Competition

The Competition Commission of South Africa

On 5 October 2020, Marang Healthcare Proprietary Limited (“Marang Health”) filed an application for exemption (“the application”) in terms of section 10 (3)(b)(ii) of the Competition Act 89 of 1998, as amended (“the Act”) to be exempted from certain provisions of chapter 2 of the Act for a period of 10(ten) years. Marang Health is a wholly owned subsidiary of Marang Global Capital Proprietary Limited (Marang Global) that was established in 2015 as a financial advisory firm focusing on healthcare investments, healthcare finance, and healthcare asset finance. Marang Health is a private company registered in accordance with the laws of South Africa.

The application for the exemption relates to the agreements and/or practices between Marang Health and Mediclinic Southern Africa Proprietary Limited (Mediclinic) under the establishment of an operating company (“OpCo”) which will include the determination and negotiation of tariffs by Mediclinic on behalf of Marang Health and each of the Marang Health Hospitals. Marang Health also requested Mediclinic to manage and operate the OpCo which includes negotiating and setting tariffs on behalf of Marang Health and each of Marang Health’s hospitals. The conditional exemption granted Marang Health was to expire on 10 June 2024.

The Commission has decided to extend the conditional exemption granted to Marang Health by three (3) months, starting on 11 June 2024 and ending on 10 September 2024. This exemption is granted on the same terms as the short-term exemption previously granted by the Commission on 21 June 2021 and 09 December 2022.

The reason for this extension is to enable Marang Health to submit the information required by the Commission to assess the latest extension request from Marang Health. The (3) three-month extension will also allow the Commission to review the information to be submitted by Marang Health and assess whether the (18) eighteen-month extension is reasonable.

Notice is hereby given in terms of Section 10(7) of the Competition Act regarding the Commission’s decision to grant the extension of this exemption. The Applicants and any other person with a substantial material interest affected by this decision may appeal to the Competition Tribunal in the prescribed manner in terms of Section 10(8) of the Competition Act.