Skip to content

CS Professional · Corporate Restructuring, Valuation and Insolvency · Regulation of Combinations

Meridian Pharma Ltd proposes a combination that fulfils the prescribed criteria for a category of combinations exempted under section 6(7) of the Competition Act, 2002. Which statement correctly describes its compliance obligations?

Such a combination is exempted from complying with section 6(2), 6(2A) and 6(4). That means no ordinary notice, no 150-day standstill and no green channel notice is needed, provided the prescribed criteria for the exempted category are met.

  1. AIt must file a notice under section 6(2) and wait 150 days
  2. BIt is exempt from the requirements of section 6(2), 6(2A) and 6(4)Correct
  3. CIt is exempt from section 6(2) only, but must still observe the 150-day standstill
  4. DIt must file a notice under section 6(4) to obtain deemed approval

Explanation

Section 6(7) provides that, on fulfilment of prescribed criteria, certain categories of combinations are exempted from complying with sub-sections (2), (2A) and (4). So neither the ordinary notice, the standstill period nor the green channel notice is needed. Retaining the 150-day wait is wrong because 6(2A) is also covered by the exemption.

Did you get it right without looking?

One question tells you little. A timed set on Regulation of Combinations shows your real accuracy, how long you take and where you lose marks.

Practise Regulation of CombinationsFree diagnostic mock

More Regulation of Combinations questions