The Johannesburg Stock Exchange (JSE) has denied any allegations of anti-competitive behaviour as it confirmed that the Competition Commission has referred it to the Competition Tribunal for prosecution, following a complaint lodged by rival exchange A2X Markets.
A2X is an authorised stock exchange that offers a complementary platform where companies can secondary list their shares for trade.
The JSE is Africa’s largest securities exchange by market capitalisation and is currently ranked in the Top 20 largest stock exchanges in the world, having been in operation for 137 years.
The Commission’s referral, made on 1 October 2025, marks the start of formal proceedings in a case that could reshape South Africa’s capital markets.
The outcome of the Tribunal proceedings could have significant implications for the structure of South Africa’s financial markets, where competition policy, investor access, and exchange regulation are increasingly under scrutiny.
The case stems from a complaint submitted by A2X in October 2022, alleging that the JSE has abused its dominant market position through exclusionary conduct involving its broker dealer accounting (BDA) system and matched principal (MP) trade type.
The Commission’s referral seeks an order from the Tribunal that the JSE amend its rules relating to the BDA system and the MP trade type, as well as a potential administrative penalty.
The JSE on Monday said it is preparing its formal plea, which—by agreement with the Commission and the Tribunal—will be filed in early 2026.
In a statement, the JSE noted that the matter remains at the referral stage, describing it as an initial procedural step. It said it has cooperated fully with the Commission throughout its investigation.
“The Commission did not provide details in its announcement and posted a non-confidential version of its referral affidavit. The JSE has been liaising with the Commission and the Tribunal regarding the further conduct of the matter,” the exchange said.
“The JSE denies these allegations in the strongest possible terms and has been advised by external legal counsel that the Commission’s claims are without merit.”
The JSE added that given the nature of the proceedings, it could not indicate when or if the matter would proceed to trial.
In August, the JSE announced a strong set of results for the first half of its financial year, with Net Profit After Tax (NPAT) of 13.2% to R557.8 million, translating into headline earnings per share of 687.0 cents, up 13.4% year -on-year.
This growth was driven by elevated equity market activity, supported by broad-based revenue growth across the core business demonstrating high quality of earnings underpinned by diversification.
Meanwhile, A2X Markets welcomed the Commission’s decision, describing it as a landmark step toward fair competition in South Africa’s financial markets.
Kevin Brady, CEO of A2X, said South Africa’s equity market has been dominated by a single player for more than a century, leading to fewer listings, stagnant liquidity, and rising costs that discourage participation by issuers and investors.
“We believe this referral validates what we have been saying: that South Africa’s financial markets have been held back by the JSE’s anti-competitive practices that ultimately harm investors, listed companies, and competitor exchanges,” Brady said.
“Our market must embrace competition to create the dynamic capital market that South Africa needs.”
Drawing on international experience, Brady argued that competition between exchanges has proven beneficial in other markets, such as Europe, Australia, and India, where it has reduced costs, boosted liquidity, and attracted more listings.
“A2X has seen several tactics by the JSE, including arguments that competition introduces systemic risk and that new players are inadequately regulated,” he said. “These arguments ring hollow when viewed against international experience and A2X’s eight-year track record.”
He added that A2X remains hopeful that new leadership at the JSE will foster a more collaborative approach to expanding South Africa’s capital markets.
“The Competition Commission has rightly identified that market growth requires fair competition—something that benefits all investors, listed companies, and ultimately the broader South African economy,” Brady said.
A2X, a fully licensed and regulated exchange, said its operations typically deliver transaction cost savings of over 40%—benefits that flow directly to pension funds, asset managers, and the retirement savings of millions of South Africans.
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