Reuters first as Walmart's South African deal wins approval

Reuters was way ahead of competitors on May 31 with news that South Africa’s Competition Tribunal had approved Walmart’s $2.4 billion bid for local retailer Massmart with only minimal conditions. The Reuters alert that South Africa had approved the deal hit screens minutes ahead of those of competitors, moving Massmart`s shares, the broader market and the rand currency. Massmart shares, which were in negative territory, turned positive and rallied more than 2 percent immediately after Reuters broke the news. The benchmark Top-40 index of Johannesburg blue chips added about 100 points. The rand currency also extended gains on news of the deal, a test case for major foreign investment in South Africa and for its place as a bridgehead for businesses moving into the fast growing continent. Walmart and Massmart welcomed the ruling. Tough conditions could have complicated the deal or even have stopped it. Unions said the conditions were too light.