As of August 29, 2017, new turnover thresholds will apply for the prior notification of mergers to the Italian Competition Authority (ICA).
The new thresholds have been set by Law n. 124/2017 of August 4, 2017 (Annual Competition Act) which has amended Art. 16, section 1 of Law n. 287/1990.
The Annual Competition Act has been published in the Italian Official Journal n. 189 of August 14, 2017 and will enter into force on August 29, 2017.
Which thresholds will be applicable?
Merger operations between undertakings should be previously notified to the ICA where the following conditions are cumulatively fulfilled:
- The aggregate turnover in Italy of all the undertakings concerned exceeds €492 million;
- The Italian individual turnover of at least two of the involved companies exceeds €30 million.
What is new?
Separate from the fact that both thresholds have been lowered (before the amendment the thresholds were respectively equal to €499 million and to €50 million), nothing will change as to the first threshold, while in relation to the second threshold the turnover of the target company will still be taken into account. In addition, (and this is the real novelty) the turnover of any other involved companies will be taken into account (as in the case of a joint venture).