Antitrust Law Daily Wrap Up, ANTITRUST NEWS: Canada Competition Bureau announces 2015 pre-merger notification transaction-size threshold, (Feb 2, 2015)

By Greg Hammond, J.D.

The Canada Competition Bureau announced on February 2 that the pre-merger notification threshold relating to the transaction-size for 2015 will increase from (Can.) $82 million to $86 million. The 2015 threshold will become effective upon publication in the Canada Gazette Part 1, which is anticipated to occur on February 7.

According to the announcement, once the 2015 threshold is in effect, advance notice of proposed transactions is required when the assets in Canada or revenues of the target firm generated in or from Canada exceed (Can.) $86 million, and when the combined Canadian assets or revenues of the parties and their respective affiliates in, from, or into Canada exceed (Can.) $400 million. Failure to notify the Commissioner is a criminal offense.

Canada follows a two-stage merger review process for proposed transactions subject to pre-merger notification filing requirements that is similar to the U.S. pre-merger process. Upon notification, there is an initial 30-day waiting period, during which the vast majority of notified mergers are cleared. The Competition Bureau may issue a supplementary information request (SIR) if additional information is needed to complete its review. The issuance of the SIR triggers a second 30-day waiting period, which commences upon receipt of the requested information.

The form for notifying transactions and advance ruling certificates appears on the Competition Bureau’s website.

News: Antitrust