Mergers

  • A merger occurs when one firm buys another firm or its assets. This can result in benefits for consumers and the Australian economy.

  • In some cases, mergers can significantly reduce competition. This results in higher prices, lower quality of service, or less innovation and choice.

  • The Competition and Consumer Act 2010 prohibits mergers that are likely to substantially lessen competition.

  • We review mergers to determine whether they are likely to substantially lessen competition.

  • There are 2 options to seek the ACCC’s view on a proposed merger.

About mergers

Mergers can result in benefits for consumers and the Australian economy. In some cases, mergers can reduce competition. The Competition and Consumer Act 2010 prohibits mergers that are likely to substantially lessen competition.

Informal merger reviews

Merger parties can use the informal merger review process to seek the ACCC’s view on whether a proposed merger is likely to substantially lessen competition. This process doesn’t protect parties from legal action by the ACCC or third parties.

Merger authorisations

When the ACCC grants a merger authorisation, businesses can go ahead with their merger or acquisition without the risk of legal action to stop the proposal because of competition concerns.