Unilever will pay a R16m penalty to settle an anticompetitive behavior investigation by the Competition Commission.
- The settlement still needs approval from the Competition Tribunal.
- In 2017, the Commission opened a case against Unilever and Sime Darby Hudson Knight for dividing markets between 2004-2013.
- They allegedly entered an agreement to produce and supply different sized products to avoid the Competition Act.
- Sime Darby SA settled with the Commission in 2016.
- In 2018, Unilever sold its spreads business to Remgro.
- As part of the settlement, Unilever will increase local supplier buying by R340m over 4 years and set up a R40m development fund.
- Unilever will also donate products worth R3m to 18,780 schools over 5 years and provide interest-free loans to black-owned businesses.
- The Commission said the agreement preserves healthy competition and protects consumer rights.
- Unilever SA declined to comment on the settlement.