How does the Fair Trading Commission determine whether or not to allow a merger? PDF Print

The Fair Trading Commission will generally allow a merger if:

  • there are no adverse effects on competition; or
  • the merger is likely to lessen competition, but the efficiencies to be generated from the merger more than offset the loss to competition; or
  • one of the firms involved is facing imminent financial failure and the merger represents the least anti-competitive use for the failing firms assets.
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