The Commission for the Protection of Competition (“CPC”) adopted Guidelines on concentration control (the “Guidelines”), which concern the specific procedure for notifying CPC for the existence of a concentration and the analytical framework applied by the regulator in assessing it.

Under the applicable law a concentration could occur in various legal transactions - merger of two or more undertakings, purchase of securities/shares, establishment of a joint venture, etc. If the sum of the aggregate turnovers of all the undertakings involved in the concentration exceeds certain thresholds, a notification should be submitted to the CPC with a view to obtaining clearance for the concentration.

The Guidelines are an important source of information on precisely this notification procedure regulated in Article 24 and the following of the Competition Protection Act (“CPA”).

The Guidelines explain the procedure in chronological order. Examples for transactions subject to notification are described in detail, and indicators are provided to assess whether a transaction should be reported. Detailed economic guidance is provided on the methodology for calculating turnovers as per Article 25 of the CPA.

The procedure for the control of concentrations is comprehensively presented, covering all its stages - pre-notification consultations, notification, accelerated examination and in-depth examination where necessary. In this context, the Guidelines assist in the proper performance of the investor’s obligations under CPA in the case of a concentration.

Further, the Guidelines are a valuable resource from a practical point of view, as they reveal the analytical framework applied by the CPC in the control of concentration proceedings and set out the criteria for assessing concentrations and their potential effects. Accordingly, insight is given on what are CPC's considerations in clearing or not a particular concentration.

The CPC Guidelines on concentration control are a useful tool for companies and legal experts working in competition law. They not only increase awareness and legal certainty, but also create a clear and structured framework for the application of CPA procedures. By providing examples, methodologies and assessment criteria, the Guidelines facilitate both the preparation and the successful conduct of controllable transactions, while promoting transparency and good practice in concentration control. The above will certainly have a positive impact on investments in the country.