On January 15, 2015, the US Federal Trade Commission announced new thresholds relating to the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, 15 U.S.C. § 18a. The thresholds govern which mergers or acquisitions must be reported to the FTC and the Department of Justice. Since 2005, the thresholds have been adjusted annually according to the change in US gross domestic product.
Once the new HSR thresholds go into effect, notification of mergers or acquisitions will be required if:
- The acquiring party will hold another person's assets or voting securities valued in excess of $76.3 million (previously $75.9 million), and the transaction involves both one party with annual net sales or total assets in excess of $15.3 million (previously $15.2 million) and another party with annual net sales or total assets in excess of $152.5 million (previously $151.7 million); or
- The acquiring party will hold assets or voting securities of another person valued in excess of $305.1 million (previously $303.4 million).
The new thresholds will apply to any mergers or acquisitions closed 30 days after the thresholds are published in the Federal Register.
The FTC's Federal Register notice, and a complete list of all HSR threshold adjustments, can be found at: http://www.ftc.gov/news-events/press-releases/2015/01/ftc-announces-new-thresholds-clayton-act-antitrust-reviews-2015.
Learn more about our Antitrust & Competition practice.
Visit us at mayerbrown.com
Mayer Brown is a global legal services provider comprising legal practices that are separate entities (the "Mayer Brown Practices"). The Mayer Brown Practices are: Mayer Brown LLP and Mayer Brown Europe – Brussels LLP, both limited liability partnerships established in Illinois USA; Mayer Brown International LLP, a limited liability partnership incorporated in England and Wales (authorized and regulated by the Solicitors Regulation Authority and registered in England and Wales number OC 303359); Mayer Brown, a SELAS established in France; Mayer Brown JSM, a Hong Kong partnership and its associated entities in Asia; and Tauil & Chequer Advogados, a Brazilian law partnership with which Mayer Brown is associated. "Mayer Brown" and the Mayer Brown logo are the trademarks of the Mayer Brown Practices in their respective jurisdictions.
© Copyright 2015. The Mayer Brown Practices. All rights reserved.
This Mayer Brown article provides information and comments on legal issues and developments of interest. The foregoing is not a comprehensive treatment of the subject matter covered and is not intended to provide legal advice. Readers should seek specific legal advice before taking any action with respect to the matters discussed herein.