The Competition Development and Consumer Rights Protection Committee of Uzbekistan has warned Uzum and Click companies that they will face punishment if they proceed with their merger without obtaining the committee's permission.
The chairman of the committee, Shahrukh Sharakhmetov, emphasised that the committee needs to examine the details of the merger and gather information about the companies' assets, turnover, and market competitors before making a decision. With over 11 million users for Click and Uzum rapidly gaining popularity, concerns about potential monopoly risks were raised.
The committee's approval is required as per the Competition Law, which mandates consent for mergers exceeding certain financial thresholds or involving dominant entities in the market.
While the companies' merger preparation is considered normal, any unauthorised merger will result in punishment. Click, founded in 2011, processes millions of transactions monthly, while Uzum Market, established in 2022, offers various services within its ecosystem.
The outcome of the merger request will determine whether Click's owners receive shares in the Uzum group's holding company, with the team continuing to focus on project development.
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