Do foreign-to-foreign mergers have to be notified and is there a local effects test?
Following the example set by the new EC Merger Regulation, article 11(2) of the Law on Competition requires that concentrations falling within the turnover thresholds be notified to the Council prior to their implementation and following the presentation of an offer to conclude an agreement or acquire shares or assets; authorisation to conclude an agreement; conclusion of an agreement; or the acquisition of ownership rights or the right to dispose of certain assets. Similarly to article 4(1) of the new EC Merger Regulation, notification may also be made where parties have demonstrated a clear intention to conclude an agreement or make a public bid. In case of failure to comply with the concentration control rules, the Council is entitled to apply the following sanctions: • to oblige the undertakings or controlling persons that have effected a concentration resulting in the establishment or strengthening of a dominant position (and subsequent considerable reduction of competition in a r
