Executive Branch enacts Prior Control Regime for Concentration Acts
On November 19, 2019, the Executive Branch issued Urgent Decree N° 13-2019 (the “Urgent Decree“) which approves a prior control regime for all business transactions that: (i) involve a change in control; (ii) meet the thresholds set forth in the Urgent Decree; and, (iii) have effects in all or a part of the Peruvian territory.
In general terms, the aforementioned prior control regime aims to promote economic efficiency in the Peruvian market, in order to achieve greater consumer welfare.
The Urgent Decree will enter in force within nine (9) months of its issuance date, and will be in force for a period of five (5) years. The Urgent Decree´s Regulations shall be issued by the Ministry of Economy and Finance within the following (6) months. Furthermore, the Peruvian Antitrust Authority will review the prior control regime in order to recommend its definitive extension by the Peruvian Congress.
Finally, according to article 135° of the Peruvian Constitution, the Urgent Decree will be revised by the Peruvian Congress once it is installed (the Peruvian Congress is currently dissolved). In this sense, please note that the newly elected Congress will be entitled to ratify, modify or abolish the Urgent Decree.