The ACCC has marked a further milestone in the transition steps towards the new merger regime with the release of the draft merger assessment guidelines for consultation.
The merger assessment guidelines outline the analytical framework the ACCC will apply when assessing notified acquisitions under the new regime, reflecting best practice for competition assessments.
While the new regime will not be compulsory until 1 January 2026, the guidelines provide early draft guidance.
“The merger assessment guidelines are intended to help the community, including merger parties and their advisers, understand how the ACCC will assess acquisitions under the new regime,” ACCC Commissioner Dr Philip Williams said.
“This combined with the increased transparency that will be available for all decisions and the reasons for the decisions, will provide greater predictability regarding the ACCC’s analysis and decision making.”
“While the ‘substantial lessening of competition’ legal test has not changed, the legislation has clarified that it does include creating, strengthening or entrenching a substantial degree of market power. This reflects the economic link between a lessening of competition and an increase in market power, which is recognised in the jurisprudence and supports the approach to merger assessment set out in the guidelines,” Dr Williams said.
“Another change is that the cumulative effect on competition resulting from serial acquisitions over the preceding three years can now be taken into account in the ACCC’s decision on whether to approve an acquisition.”
The ACCC is seeking feedback on the merger assessment guidelines from businesses and their advisers, consumers and other interested members of the community.
The guidelines are available to download from the ACCC’s consultation hub which also sets out the details for making a submission.
The consultation will run from 20 March to 17 April 2025.
Anyone interested in merger reform updates can subscribe for updates on the ACCC website here: Merger reform.
Above is a media release (20/03/2025) from the Australian Competition and Consumer Commission. The original media release, as well as additional background information, is available here.