South African watchdog seeks fifth extension for regulatory scrutiny of SAB, AB InBev deal

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JOHANNESBURG, May 5 (Reuters) - South Africa's competition watchdog plans to seek another extension to scrutinise Anheuser-Busch InBev's planned $106 billion takeover of SABMiller (Xetra: BRW1.DE - news) , its spokesman said on Thursday.

The Commission was due to finish its investigation on Thursday, after it was granted a 15-day extension to complete its scrutiny. It (Other OTC: ITGL - news) has already extended the deadline four times.

South Africa has a history of taking its time over approving takeovers partly because competition authorities have a public interest mandate to safeguard jobs, in addition to an anti-trust mandate to protect competition.

The Competition Commission investigates deals for any anti-trust issues and submits its views to the Competition Tribunal, which makes a final ruling on whether a deal should go ahead.

"I confirm that the competition Commission will not be issuing a decision on the SAB/ABInbev merger today. There will be another extension," Commission's spokesman Itumeleng Lesofe told Reuters, without elaborating.

AB InBev, which makes Budweiser and Stella Artois, has already struck a deal to invest 1 billion rand ($66 million) to support small South African farmers and freeze layoffs for five years as part of concessions agreed with the state.

Australia's antitrust regulator on Thursday cleared the deal, saying the transaction would not adversely affect the domestic market.

AB InBev still has to secure antitrust clearance in Europe, where both it and its target are headquartered. The European Commission has said it will give its verdict on the deal on May 24.

($1 = 15.1325 rand) (Reporting by Nqobile Dludla; Editing by James Macharia)