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The financial services sector led the merger activity with seven reported cases, followed by energy, ICT, and agriculture—sectors under pressure from both global shocks and structural transformation.
ANALYSIS | JULIUS BUSINGE | The Common Market for Eastern and Southern Africa (COMESA) saw a record number of merger notifications in 2024, with companies across the region accelerating consolidation in response to macroeconomic volatility and rising operating costs.
According to the latest annual report from the COMESA Competition Commission (CCC), the regional regulator processed 56 merger cases during the year, up from 38 in 2023—a 47.4% increase and the highest volume since the institution’s establishment. The surge highlights a significant shift in corporate strategies as businesses seek scale, efficiency, and regional expansion amid high inflation, elevated interest rates, and constrained credit markets.
“The increase in both volume and complexity of mergers is a reflection of the maturing of regional markets and the relevance of the Commission’s regulatory oversight,” said Willard Mwemba, Chief Executive Officer of the CCC. “Strategic consolidation is becoming a dominant feature of economic activity across COMESA.”
Financial sector takes lead
The financial services sector led the merger activity with seven reported cases, followed by energy, ICT, and agriculture—sectors under pressure from both global shocks and structural transformation. Many of the mergers involved cross-border components, putting a renewed spotlight on the CCC’s regional oversight function.
Of the 56 transactions reviewed, 43 were unconditionally approved. None were prohibited, marking a departure from 2023 when one merger was blocked and three others cleared with conditions. The remaining 2024 cases included five comfort letters, one abandoned deal, and seven transactions still under review heading into 2025.
The CCC continued to apply its subsidiarity principle, referring cases with limited cross-border impact to national competition authorities. However, increased cross-border activity in Kenya, Zambia, Uganda, and the Democratic Republic of Congo reinforced the Commission’s central role in overseeing regional competition dynamics.
Prominent deals
Among the most prominent deals was the acquisition of MC Vision Ltd by Canal+ International SAS. The transaction was unconditionally approved in most COMESA member states, while the segment relating to Mauritius was referred to its domestic regulator. Another notable case involved the joint acquisition of Cementis Madagascar by Gamma Civic Ltd and WH Investments Pte. Ltd. Although the deal raised market concentration from 71% to 76%, the CCC found no substantial harm to competition due to strong import dynamics and cleared the transaction.
Other high-profile approvals included National Cement Holding’s proposed majority stake in Rwanda’s Cimerwa PLC and the formation of Mawezi RDC S.A.—a joint venture between Airtel RDC and Orange RDC aimed at operating a subsea cable landing station in the DRC. The latter raised early concerns about vertical foreclosure and information sharing but was ultimately cleared following a detailed competition assessment.
The CCC’s enhanced operational capacity was a key enabler in handling the growing merger caseload. Improvements in internal systems allowed the Commission to meet regulatory timelines, while expanded advisory services—including the issuance of comfort letters for non-notifiable mergers—helped reduce uncertainty and promote voluntary compliance.
As COMESA member states deepen regional integration, the CCC’s role in regulating mergers is increasingly seen as a cornerstone of economic governance. Its dual approach—balancing business facilitation with robust enforcement—has positioned the institution as a model for regional regulatory cooperation.
With seven complex transactions still under review and more expected in 2025, the CCC’s work will remain vital in safeguarding competitive markets while supporting economic transformation across Eastern and Southern Africa.
