The Competition Authority of Kenya (CAK) has given permission to Stephan Crétier, a Canadian businessman and charity worker, to completely buy and take control of a security company called KK Security Limited.
CAK announced that they made this decision after checking that the acquisition would not harm competition in the private security and facility management industry in Kenya. They also found that this buyout would not cause any problems for the public.
“The Competition Authority of Kenya has approved the plan for Mr. Stephan Crétier to take full control of Doctor No Parent Limited,” the authority stated.
Stephan Crétier is the CEO of GardaWorld Limited, a large private security firm around the world. He currently has partial control of Doctor No Parent Limited and wants to fully own it with this deal.
Doctor No Parent Limited is a company registered in Canada, but in Kenya, it operates under GardaWorld’s local name, KK Security Limited. The company offers various security services, including security guards, facilities management, dog security, VIP protection, and cash transportation.
After this deal, Crétier will change from having shared control to having full control of Doctor No Parent Limited.
According to CAK, the goal of the acquisition is to attract new investors and prepare GardaWorld for future growth.
Stephan Crétier started GardaWorld in 1995 by selling his car and taking out a second mortgage on his home. Although he faced bankruptcy four times and almost lost his home, his company is now worth more than $10 billion.
In Kenya, the Private Security Regulatory Authority has registered 799 private security firms. Some of the well-known companies include G4S, Wells Fargo Limited, BM Security, Securex Africa Limited, and Panda Security Limited.
This merger is just an increase in ownership by Crétier, so it does not change how the market works or reduce competition.
CAK has stated that the transaction does not raise any concerns about market power or fairness.
Furthermore, under Kenya’s Competition Act, any business that gets control over another company in the country is considered a merger.
This includes buying shares, leasing assets, or other ownership changes. Companies involved in a merger need to seek approval if their combined annual revenue or assets are more than Ksh1 billion.
