PRESS RELEASE
FOR IMMEDIATE RELEASE: 15th August, 2017
NOTICE OF INQUIRY INTO THE PROPOSED ACQUISITION OF OPPORTUNITY INTERNATIONAL BANK OF MALAWI BY FIRST MERCHANT BANK MALAWI PLC
The Competition and Fair Trading Commission has received an application for authorization of the acquisition of Opportunity International Bank of Malawi by First Merchant Bank Malawi plc.
The acquiring firm is First Merchant Bank (FMB) plc of Livingstone Towers, Private Bag 122, Glyn Jones Road, Blantyre; a licensed commercial bank with interests in banking, asset finance, capital market and portfolio management. The target firm is Opportunity International Bank of Malawi (OIBM) of Kamuzu Procession Road, Old Town, Private Bag A71, Lilongwe; a licensed commercial microfinance bank which targets the economically active but marginalized Malawians living in under-served areas including semi-urban and rural areas. The parties have submitted that the proposed transaction will involve FMB acquiring 100% shareholding of OIBM and consequently OIBM shall cease to operate and be merged with FMB.
In accordance with section 37 of the Competition and Fair Trading Act, Cap 48:09 of the Laws of Malawi, the Commission is required to conduct an assessment of the likely impact of the proposed transaction on competition and the economy. The Commission, therefore, is mandated to obtain representations from interested parties and stakeholders on their views of the transaction, in particular the proposed transaction’s effects on competition within the country.
In view of the foregoing, the Commission hereby gives notice to all interested stakeholders, including competitors, suppliers, customers and any other interested persons of the merging parties to submit written representations to the Commission. The submissions should include comments on the developments and growth of the banking industry, any benefits arising out of the proposed transaction and more specifically the impact of the transaction on competition and the economy in general.
All written submissions should be sent to the address below, not later than 31st August, 2017 in order for the Commission to take all views into account.
The Executive Director
Competition and Fair Trading Commission
Off Mandala Road, Behind NBS bank,
Mpikisano House, Plot No 4/385,
Private Bag 332,
Lilongwe 3, Malawi
The Commission further assures that all the information that will be made available to the Commission shall be treated with the strictest confidentiality and will only be used for the purpose of this inquiry.
In the interim, if you wish to seek further details and/ or clarifications on any aspect of this inquiry or need assistance you may get in touch with Angella Mhone on This email address is being protected from spambots. You need JavaScript enabled to view it. or on 01 759 506/507.
