The transaction size pre-merger notification threshold for 2015 will be $86 million, up from $82 million in 2014, the Competition Bureau announced recently. The new threshold is expected to come into effect on February 7, 2015.
Mergers are only notifiable if three threshold tests are met:
- Transaction type: the transaction must involve an “operating business in Canada“. Transactions can take various forms, for example, acquisitions of assets or shares, amalgamations, combinations, etc.
- Party size: the Canadian assets or sales of all parties and their affiliates must be $400 million or more.
- Transaction size: the target must have assets or sales of $86 million or more.