A PYMNTS Company

South Africa: Mpact’s share price falls after Competition Commission raid

By  |  May 26, 2016

Packaging group Mpact’s share price fell 5% to R36.39 on Thursday after confirming that the Competition Commission had raided its premises.

The commission said in a press release on Thursday that it had raided the premises of MPact and New Era Packaging as part of an continuing investigation into allegations of collusion involving the two firms.

The commission said it had reasonable grounds to suspect that New Era and Mpact have engaged in collusive practices in contravention of the Competition Act, which prohibits competitors from reaching agreements to fix prices, allocate customers or rig tenders.

“This search and seizure operation is conducted with due regard to the rights of New Era and Mpact, and all persons affected. During the operation, the commission will seize all documents and electronic data relevant to the investigation,” the commission said in its statement.

Full Content: Business Day

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.