Wednesday, June 25, 2008

2-to-1 Mergers: Impossible to Clear?

Posted by D. Daniel Sokol

The competition policy team over Oxera offers advice on 2-to-1 Mergers: Impossible to Clear?

ABSTRACT: A number of (seemingly) 2-to-1 mergers, as well as other mergers in concentrated markets, have been allowed by competition authorities in recent years. Given that the aim of these authorities is to promote effective competition—which is generally found in markets with many companies—how were these mergers allowed? This article presents a number of justifications, which have been, or could be, used in such mergers.

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