In Australia, section 50 of the Competition and Consumer Act 2010 (Cth) (CCA) prohibits the acquisition of shares or assets that would have the effect, or likely effect, of substantially lessening competition in a market.
Unlike some other jurisdictions, in Australia there is no mandatory threshold for notifying transactions to the Australian Competition and Consumer Commission (ACCC). Although notification is voluntary, the ACCC can take action to prevent or unwind a transaction that contravenes section 50. The ACCC can also seek civil penalties for a contravention of section 50.
If you are considering engaging in, or advising on, a merger that may affect competition in a market in Australia, it is important that you understand the merger process, how to engage with the ACCC appropriately and current insights into the merger review regime.