The Australian Competition Authority proposes radical changes to the way mergers are regulated in Australia recommending the introduction of a mandatory and suspensory merger review process

The Australian Competition and Consumer Commission (ACCC) has proposed radical changes to the way mergers are regulated in Australia recommending the introduction of a mandatory and suspensory merger review process with limited merits review by the Australian Competition Tribunal. Key takeaways We have three key takeaways: compared to the current process, parties will be required to meet a substantially higher standard to obtain merger clearance with some mergers being ‘deemed’ to substantially lessen competition – which will likely lead to pro-competitive and efficiency enhancing deals being blocked; the proposed reforms will significantly reduce oversight of ACCC decision making; and the proposed reforms create a highly restrictive investment environment that is out of step with global