What are the thresholds in case of competition?
The penalties under Section 43 of the Competition Act can extend to INR 0.1 million for each day of non-compliance up to a maximum of INR 10 million.
What is the threshold imposed by the Competition Act 2002 in relation to the asset value?
an enterprise, whose control, shares, voting rights or assets are being acquired has either assets of the value of not more than INR 250 crore in India or turnover of not more than INR 750 crore in India from the provisions of Section 5 of the said Act for a period of five years.
What is the mandate of Competition Commission?
JURISDICTION OF THE COMPETITION COMMISSION The Commission has the mandate to investigate all competition concerns as envisaged by the Act. These include restrictive practices, abuse of dominance, exemptions from the application of the Act and mergers and acquisitions.
What is threshold in combination?
The thresholds relate to the assets and turnover of the parties to the combination, i.e., target enterprise and acquirer (or acquirer group) / merging parties (or the group to which merged entity would belong).
What is Section 5 of Competition Act?
approval of proposal relating to merger or amalgamation, the situation as referred in section 5 of the Act. ii. execution of any agreement or documents for acquisition referred to in section 5 of the Act….Provisions of Combination under Competition Act, 2002.
|Acquire in India||Value of the Assets||More than 1000 Cr.|
|Turnover||More than 3000 Cr.|
What is the threshold limit for group of enterprises for merger and acquisition for which the prior permission of the CCI is required under the Competition Act?
S.O. 674(E) dated March 4, 2016, acquisitions where enterprises whose control, shares, voting rights or assets are being acquired (i.e. the target enterprise), have assets of not more than Rs. 350 crore in India or turnover of not more than Rs.
What are the threshold for availing of de minimis exemption for acquisition under Competition Act 2002?
De minimis is a term used to signify something trivial to even merit any consideration in law. The acquisition of a target enterprise, the assets of which were Rs. 2.5 billion or less than that, or turnover of Rs. 7.5 billion or less , in India were exempted from notifying the CCI for a period of 5 years.
What is South Africa’s competition policy?
South Africa’s competition policy thus seeks to limit abuse of dominance and proactively open the economy, stimulating development as critical tools to transform and grow a truly inclusive economy.
What is the role of the competition Commission in the market?
Our Core Functions Investigate and prosecute abuse of dominant positions; Decide on mergers and acquisitions applications; Conduct formal inquiries in respect of the general state of competition in a particular market; Develop and communicate advocacy positions on specific competition issues.
Does South Africa need a competitive energy market?
Instead of expecting Eskom to continue to generate 95% of the country’s power, South Africa needs a competitive energy market. The market must be opened up so that independent power producers can compete with each other for customers’ money. Take energy generation, for example.
Which market structure is MTN and Vodacom?
Both Vodacom and MTN have market shares of at least 35%. This type of interdependence is a well- known characteristic of oligopoly (and duopoly) markets.
How are competition authorities established in South Africa?
The competition authorities have been established in terms of the Competition Act 89 of 1998 (as amended) (the “ Competition Act “) to promote and maintain competition in South Africa. This includes the role of assessing proposed mergers for the effects that such mergers may have on competition in any relevant markets.
Is the Competition Commission threshold calculator free to use?
This is a free tool which will assist you in determining whether a merger is small, intermediate or large based on the new thresholds. It is not in any way intended to be or to replace independent legal advice and is non-binding on the Competition Commission. All figures must be for the preceding financial year.
When does a merger need to be notified to the Competition Commission?
If the combined annual turnover or assets of both the acquiring and transferred / target firms are valued at or above R6.6 billion, and the annual turnover or asset value of the transferred / target firm is at least R190 million, the merger must be notified to the Competition Commission as a large merger.
What can the Competition Commission do for You?
The Commission can also participate in the proceedings of any regulatory authority and advise (or receive advice) therefrom. “Competition in theory leads to the dynamism, growth and innovation. Of course, here I am not just concerned about growth, but also the levels of participation by various groups.