Antitrust Law Daily Wrap Up, ANTITRUST NEWS: Canada Competition Bureau Revises Pre-Merger Notification Transaction-Size Threshold for 2013, (Jan 8, 2013)

The Canada Competition Bureau announced today that the pre-merger notification threshold relating to transaction-size for 2013 will increase to (Can.) $80 million from the 2012 threshold of (Can.) $77 million. According to the announcement, the threshold increase will go into effect upon publication in the Canada Gazette Part 1, which is anticipated to occur on January 12.

The Competition Bureau explained that, once the 2013 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.) $80 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 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 it needs additional information 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 appears on the Competition Bureau’s website.

News: Antitrust