Allexer Namundjembo
The Namibian Competition Commission (NaCC) has approved the proposed merger between CNNC Overseas Ltd (CNOL) and Bannerman UK (BMN UK), but attached stringent conditions designed to safeguard employment, promote localisation, strengthen skills development, and ensure greater participation of Namibians in the country’s uranium industry.
The approval, published under Notice No. 504 in Government Gazette No. 8972 dated 8 July 2026, forms part of 11 merger determinations issued by the Commission.
While most of the mergers were approved without conditions, the Etango Uranium Project transaction attracted extensive public interest requirements because of its potential impact on employment and Namibia’s mining sector.
According to the gazette, the Commission found that the proposed transaction was unlikely to prevent or lessen competition, as it involves the acquisition of a minority and/or controlling interest in a development-stage uranium project that is not yet operational.
However, it concluded that conditions were necessary to ensure the project delivers meaningful benefits to Namibia.
“The proposed transaction does not raise significant competition concerns, as it involves a minority interest in a non-operational, development-stage uranium project and does not alter market structure or remove an active competitor. However, there are notable public interest risks, particularly regarding employment,” the gazette stated.
The Commission noted that although the project has the potential to stimulate investment, create employment, and contribute to economic growth, those benefits remain dependent on the successful development of the mine.
It also warned that domestic skills shortages, uncertainty over the sustainability of future jobs, and the risk of limited participation by local businesses justified imposing strict conditions on the transaction.
Under the approval, the merged undertaking must ensure that at least 85 percent of its workforce comprises Namibian citizens within three years of commencing operations, increasing to 90 percent within five years.
“All unskilled and semi-skilled positions must be reserved for Namibian citizens, while expatriate employees may account for no more than 15 percent of the workforce unless the company demonstrates that the required expertise is unavailable locally and implements structured skills transfer programmes,” the gazette further stated.
The Commission also directed the company to accelerate the localisation of leadership positions by ensuring that at least 60 percent of senior management positions are occupied by Namibians within three years, increasing to 75 percent within five years.
In addition, at least one executive-level position must be filled by a Namibian within two years of the merger’s implementation.
To build local capacity, the merged undertaking must allocate at least two percent of its annual payroll to training and skills development for Namibian employees.
It is also required to establish internship and graduate development programmes in fields including geology, mining engineering, metallurgy, environmental management, finance, and other technical disciplines to prepare Namibians for careers in the uranium industry.
Every expatriate employee must also mentor at least one Namibian employee under a structured skills transfer programme.
The Commission further ordered the company to expand opportunities for local businesses by directing at least 30 percent of its procurement expenditure to Namibian suppliers within five years, with interim targets to be achieved during the implementation period.
Procurement is expected to extend beyond low-value services to specialised areas such as geological support, drilling, engineering, laboratory services, environmental monitoring, and logistics.
The merged undertaking must also establish a supplier development programme aimed at equipping Namibian businesses with the technical, financial, and regulatory capacity needed to participate in the uranium mining value chain.
“Accordingly, in order to promote employment, localisation, skills development, and meaningful participation of Namibians in the mining of the uranium sub-sector, the Acquiring Group and the Merged Undertaking shall commit and adhere to the following conditions,” the notice states.
As part of the approval, the Commission prohibited merger-specific retrenchments for a period of five years following implementation of the transaction and ruled that existing employment terms and conditions may not be worsened as a result of the merger.
The Commission also introduced strict monitoring measures to ensure compliance with the conditions.
The merged undertaking will be required to notify the Commission within 10 business days of implementing the transaction and submit biannual reports for five years detailing workforce composition, localisation targets, training expenditure, skills transfer, procurement from Namibian suppliers, and the implementation of supplier development initiatives.
The Commission has also reserved the right to inspect company facilities and request additional information where necessary.
The gazette further notes that the Commission may revoke its approval if it finds that the decision was based on materially incorrect or misleading information or if any material condition attached to the merger is not honoured.
Besides the Etango transaction, Government Gazette No. 8972 also approved mergers involving Appian Omega Bidco Ltd and Craton Mining and Exploration (Pty) Ltd, Brookstone Investments and Havenrock Investments, Horizon Frontier Holdings Ltd and Kamino Minerals Limited, Maponya Energy and Unisun Energy, Motion JVCO Limited and Castrol Group Holdings Limited, NORFUND and Nafasi Water Technologies, Nuvia Investments and Store All Container Storage, Sedgeley Solar Management and Khomas Solar-Saver, and TotalEnergies EP Namibia and Windhoek PEL 28 BV.
The Commission also approved the acquisition of Okorusu Holdings by Huajing Investment Limited and Walvis Bay Minerals (Hong Kong) Limited, subject to separate public interest conditions focusing on employment, skills development, environmental management, and local value addition.
The determinations were signed by Andreas Ithindi, Chairperson of the Namibian Competition Commission.
