Mergers and Acquisitions in Costa Rica

As of April 5 mergers and acquisitions will have to be approved at the Antitrust Commission, part of the Ministry of Economy, Industry and Trade, before they can take place.

Tuesday, April 2, 2013

From that date, the Antitrust Commission, at the Ministry of Economy, Industry and Commerce (MEIC), will have the power to approve or deny deals, if it is concluded that they would result in undue concentration of business. The activities which must be reported to this Committee are those in which the assets of the companies involved exceed $15 million.

Once the agreement is signed, mergers or acquisitions must be reported before or within five days, otherwise, the parties could face fines ranging from $205,000 to $340,000.

According to Victoria Velazquez, director of the Commission for the Support of Competition, "agreements made ​​before April 5, need not be reported, however, the Commission may investigate and, if appropriate, and makes sanctions which include total or partial devolution ".

"We are only interested in transactions which cause problems, not all of them will be reviewed," she added.

"... The regulations of the the law are under consultation and the Commission expects them to be ready later this month", reported Nacion.com.



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